Microsoft however says it is aware only of attacks affecting Internet Explorer 7 under the following systems: Windows XP Service Pack 2, Windows XP Service Pack 3, Windows Server 2003 Service Pack 1, Windows Server 2003 Service Pack 2, Windows Vista, Windows Vista Service Pack 1, and Windows Server 2008.
What is "Remote code execution":
Allowing a page of text/graphic/video from remote web server to be copied into the local memory of your PC and this happen all the times when you browse.
But if you load a page contain malicious program:
A program in the form of text is now taking resident in the computer memory. The browser sometime activated and interpret that text as commands, the program is then executed.
Updated(19.12.2008)
Microsoft has released an urgent security update for Internet Explorer. Just put your computer in "Automatic Updates" or go to http://update.microsoft.com to install the update.
Apparently, Mozilla also followed Microsoft to release an update for Firefox 3 and Firefox 2 regarding the recent page hijacks in Internet Explorer (IE).
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