I tested your code under IE 7, 8 and FF3 and it works fine. However, as you have already pointed out, there's indeed a bug when running the animation in Opera. I tested it in Opera 9.64 and got the same results as you.
I searched in Google and in the Opera forums and could not find any reference to this particular bug. The closest that I could find was this: jquery-smooth-scroll-bugs.
You may have to create a ticket to report this bug with Opera.
ichiban
2009-05-12 07:46:18