Strange behaviour with Save As dialog

In several applications including MS apps when I click Save As.. I get
the usual dialog prompting for a save location - the pull down widget
(Combo Box?) titled Save As will show a default location (e.g. the last
location saved to). When I click the down arrow, instead of showing
the expanded list with the default location selected, the selection
jumps to the top of the tree (i.e. Desktop).

The Up One Level behaviour is OK.

Hard to explain in words but frustrating. I've searched all over so I
expect this is an obscure problem. Any help appreciated

.

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