Pan, I do not have my browser zoomed, but apparently since I like to have my screen(s) (yes I have multiple) in portrait orientation rather than landscape. When I stretch my window to more than one screen, then the pictures in your post no longer crowd the text.
Does that mean that in certain themes (the one you are using in particular) the pictures show up in the main column as a percentage of the whole browser width not the column width? (just curious, I do not expect to know of any way to fix this, just to be aware of it for future reference)
or maybe it is just because I am using FireFox? (okay just checked and it happens in IE too so not a FF issue)
This would definitely be something that people would need to keep in mind when using different themes for a photo rich blog.