The reason words are being spelled out is most likely a setting within your screen reader. I agree capslock should be off, but if you're using speech you can control how things are read.
I'm using window eyes 5.0 and capslock on doesn't bother my reading one little bit. I know I'm one who's been guilty of accidently having it on of late and I will certainly try to avoid it in the future, but you should always be able to adjust your speech settings so as to read properly for a short time. Don
