QUOTE(Furious_George @ Mar 27 2006, 09:18 AM)
Fortunately/Unfortunately this DOES appear to be a glitch on 360. I have started two games and my wife the same.
No matter how much gold the merchant says he/she has, they can give you unlimited money for those special magically-imbued items (my latest character after restarting is lvl 12 and sold about $6k to a merchant listed as having 600 gold).
If you must follow the limitations, the only way for now it to self-limit your sales.
This really sucks. How could Bethesda not notice such an obvious glitch?