For some reason I can click on the text and the text box appears. I can click and drag but as soon as I release the mouse the text jumps back to where it started. Some texts I can move but I have two that just snap back.
I don't have PhotoStory myself, so this is just a guess about the possible special nature John suggested. Does it have the same option as Movie Edit Pro shown here:
Another guess: did you import the text from Word, Excel or similar? If so, try pasting it into a text editor (Notepad at a pinch), satisfy yourself it looks correct (with no CR and/or LF or tab characters) and then copy/paste it from there.