Closing bitcoind socket with 127.0.0.1, failed to read message header (0: )
I'm not seeing any errors in my bitcoin debug log, and the port is open on the server. I'm running the latest bitcoind and I pulled the relay client from github this morning (its the c++ version on linux)
Have you checked wireshark on your loopback interface, and are you sure bitcoind is listening on loopback and not only on your non-localhost address(es)?