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Have you tried using the arrow keys on the keyboard to navigate the menus?
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I do believe that would be the most obvious choice. Aye, I did try every single key on my keyboard.
Edit: Ok, when I press the Windows button so the start menu pops up, and click back into the game on a menu item, the controls temporarily switch to keyboard from xbox. This is in game or in menu. then it changes back to Xbox 360, even in the controls options, it changes from a diagram of a 360 controller to a keyboard diagram. stays in Xbox 360 if I run it in compatibility mode.