I meant for the re-index to complete and the daemon to then catch up with the network. I've got two servers which both required a reindex, not sure what's up with that.
And as I've posted, I tried to set minrelaytxfee to 0.0005 and also 5000 and neither made any difference, the latency kept going back up after some period of time, usually less than an hour.
5000 is too low, it would need to be 50000 if that's the way it works (5000 is 0.00005). I've never modified the fees except via source code.
Transactions like this:
http://blockchain.info/tx/fe03d93a778f881d11a66c7d13c667701f24ff9b97d7d083d6dd3827aee0d553
will go into your queue if you don't raise the relay from 0.0001 (*pre 0.8.2, i think the 0.0000025 would get rejected by 0.8.2). He's done a lot of transactions that comply with the 0.0001 fee, all these will be stored & increase your latency.
it's also the reason why ppl complain about how their latency creeps up over time (even before this nonsense). bitcoind getmininginfo will show all the stored tx. if your relay fee is set high enough, all of those get cleared out. i think his coins are also old enough to qualify as priority transactions (which has a default 27000 limit, so your client will also store all of his transactions under 27000 bytes regardless of fee, unless you set blockprioritysize=0).
if these are set to default, with this horse person spamming crap, then you will have, well, more 99kb and 20-27kb transactions than you can shake a stick at being stored in memory, bitcoind getmininginfo will show this for bitcoind. i never use bitcoin-qt
ed: btw, has anyone ever seen a 'CTxMemPool::accept() : free transaction rejected by rate limiter' in their log?
ed2: the unconfirmed transactions i check fairly frequently, very rarely has it been over 500KB in the last 3 months or so... during the times where difficulty was decreasing, it would occasionally be >1MB
ed3: it should be pretty apparent what most of the major pools are doing in regard to relay fees, just by looking at the latest blocks and the transactions contained within