Here is a portion of the code that reproduces the problem, either you can copy & paste this to test it out or see here for the same thing I uploaded for testing :
<html><head><style>
a {
float:left;
border:1px solid #b0b;
display:block;
}
.shpf,.shpe {
background:#b0b; float:left;
width:2px; height:2px;
padding:0; margin:0;
line-height:0;
}
.shpe {
background:#fff;
}
.shpbrk {
float:left; clear:both;
}
</style></head><body>
<a id="happy" href="javascript:void(0);"><div id="happy_button" class="button"><span class="shpbrk"></span><span class="shpe"></span><span class="shpe"></span><span class="shpe"></span><span class="shpe"></span><span class="shpe"></span><span class="shpe"></span><span class="shpe"></span><span class="shpe"></span><span class="shpbrk"></span><span class="shpe"></span><span class="shpe"></span><span class="shpf"></span><span class="shpe"></span><span class="shpe"></span><span class="shpf"></span><span class="shpe"></span><span class="shpe"></span><span class="shpbrk"></span><span class="shpe"></span><span class="shpe"></span><span class="shpf"></span><span class="shpe"></span><span class="shpe"></span><span class="shpf"></span><span class="shpe"></span><span class="shpe"></span><span class="shpbrk"></span><span class="shpe"></span><span class="shpe"></span><span class="shpe"></span><span class="shpe"></span><span class="shpe"></span><span class="shpe"></span><span class="shpe"></span><span class="shpe"></span><span class="shpbrk"></span><span class="shpe"></span><span class="shpf"></span><span class="shpe"></span><span class="shpe"></span><span class="shpe"></span><span class="shpe"></span><span class="shpf"></span><span class="shpe"></span><span class="shpbrk"></span><span class="shpe"></span><span class="shpe"></span><span class="shpf"></span><span class="shpf"></span><span class="shpf"></span><span class="shpf"></span><span class="shpe"></span><span class="shpe"></span><span class="shpbrk"></span><span class="shpe"></span><span class="shpe"></span><span class="shpe"></span><span class="shpe"></span><span class="shpe"></span><span class="shpe"></span><span class="shpe"></span><span class="shpe"></span></div></a>
</body></html>
Note: even using <!doctype html> which allows anchors to be block elements as ricebowl pointed out the result is the same. Hovering over the anchor triggers mouseout events and also makes the status bar to flicker the destination link text (at least in Firefox, didn't test elsewhere). The spans are empty which is wrong usually but the same happens even having a inside them.