I just started using Fiddler 2 to create request objects for REST,JSON, and SOAP based services that I have been creating. It has worked great so far.
The problem came when I attempted to use some of my company resources through Internet Explorer. I was getting some sort of a DNS error, which I realized was happening because my proxy settings were getting wiped every time I open fiddler (IE6 and IE8). Does anyone know what Fiddler might be "fiddling" with here that would cause such a strange problem.
More info: This is happening on an Virtual PC VM running Windows XP. The exact stuff that is being blanked resides in the Tools->Internet Options->Connections->LAN Settings window. Both checkboxes there were checked and the fields in the Advanced window were populated. Afterwards, all were blanked.
Fiddler changes your proxy settings on startup and reverts them back to what they were before you started when Fiddler is closed.
However, that doesn't really explain your problem, because when Fiddler is running it will use your old proxy server as an upstream proxy, and when you shut it down, it reverts the settings back to what they were before.
If you don't want to use Fiddler with IE, uncheck the "Act as system proxy" checkbox inside Tools / Fiddler Options; note that you'll need to manually configure your application or framework (e.g. .NET) to use 127.0.0.1:8888 as a proxy though.