Thanks for checking! Looks like upstream commit
2b96b6676e5a4b464cdfc9d816d8828a4a5d3c0d
fixes this. So this should be fixed on 0.6.1 in testing.
I can confirm - I backported libvirt 0.6.1-1 from squeeze to lenny.
The VNC console immediately works with virt-manager 0.6.0-6 after
passing the wizard for creating a new guest.
Hopefully there is a way to get this fix back into the lenny version
as well :-)
Cheers,
Andreas
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