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After a fair bit of researching and scratching my head, I managed to figure out how to make it so that attached images now display their full size instead of just a link to the image.
Note that if the attached images exceed the width of the normal post width that they will be resized to fit only the maximum size of the forum.
Here's an example of this new enhancement in action (a shot from my office where I'm writing this very post!):
Attached Images Now Show in Posts
