The default settings for the 'disable touchpad while typing' is to completely disable the touchpad for 2 seconds on keypresses. Not only is this *way* too long, it is not required. It hinders workflow and is very obnoxious. A much better set of options to syndaemon would be: -i 0.5 -K -t -R -d This translates to: -i How many seconds to wait after last keypress to reenable to touchpad. -K Do not disable the touchpad for modifier keys. Allows Ctrl + Click etc. -t Only disable tapping and scrolling. The mouse can still move, but no click events are reported. -R Use the XRecord extension -d Start as a background daemon. This is a MUCH more sensible default. It also improves workflow.
This is already fixed in the git master branch and will be available in the next release of Xfce. *** This bug has been marked as a duplicate of bug 8948 ***