Steam has encountered a problem and needs to close

[THE_END]

Steam is being weird. When I open it I get a message saying steam has encountered a problem and needs to close, but everything is working - I can go into games, join servers etc...
Any ideas on how to fix this or whats even wrong?

[Druckles]

So I've got this oven, yeah...?

... nevermind.

This problem is unspecified. Please respecify so that one may understand and attempt to solve above problem. For a start, where does the message appear? Screenshots are extremely helpful.

Then post your specs. Following this (http://www.halflife2.net/forums/showthread.php?t=88149) format will not hurt you.

[THE_END]

This message appears when I log into steam:
http://xs124.xs.to/xs124/08092/screen104.png

OPERATING SYSTEM : Windows Xp Media centre edition
PROCESSOR : Intel Core 2 cpu
MEMORY : 2 Gb Ddr2 RAM
VIRTUAL MEMORY: 510 MB
DIRECTX VERSION : 9.0c
GRAPHIC CARD : Nvidia Geforce 8800 Gt
GRAPHIC CARD MEMORY :512
DRIVERS :6314.0011.6902
RESOLUTION :1280 x 1024
And it has just randomly started doing this :S

[Druckles]

There doesn't appear to be anything wrong with your hardware, but if I were you I'd increase your Virtual Memory.

You say it doesn't actually close and you can still use Steam?

[THE_END]

Yeah. It's very strange
EDIT: also I can't see most of my friends avatars:
http://xs124.xs.to/xs124/08092/screen2427.png