Confirmed Michael's comment.
File > Create Folder creates an 'untitled folder' in the current directory, the
view pans to show the folder, which is selected and in rename-mode. At least,
it should pan to show the folder, but it doesn't always do this.
I can reproduce this error by opening my home folder, expanding Music,
Pictures, Photos or Ubuntu One and pressing File > Create Folder. For
some reason known only to gods and madmen, most other folders I expand
don't reproduce this :/
It is not clear whether File > Create Folder will create a new folder in
the current directory or the expanded directory - which might be taking
up the entire view. (Bug #61786)
Bug #51043 ("rightclick -> paste" missing in contextmenu when pointer is
above files/folders)
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right-click-menu in Nautilus should always have at least 'paste', 'create file'
and 'create folder'
https://bugs.launchpad.net/bugs/389606
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