@op, I still can't copy/paste from any terminal I have, Xterm, Yakuake, or console. On either machine.
In terminals, copy and paste is achieved via Ctrl-Shift-C & Ctrl-Shift-V, respectively. You can also right click and copy/paste, or do Edit > Copy, or Edit > Paste. You can also highlight the text you wish to copy and middle - click where you want to paste. This is basically what old-polack said, but I just wanted to reiterate it.
I had always known about "highlight and middle click" but I had never used it in ordinary program work. Highlight, Ctrl C (orX) and Ctrl V were what I always used. But this doesn't work in Console (Ctrl Alt F2) mode, and I never thought about the other option. Just used redirect to get a text file. I have been playing with this, and found that "hl & midclk" works in Xterm and Konsole (never used Konsole before). However, I find that Ctrl-Shft C works also to copy, but Ctrl-Shft V does nothing into kwrite, but Ctrl-V does paste. CtrlShift V may work into a reply forum window, haven't tried that.
Anyhow, we live and learn, thanks for helping out guys.