Same, space not working with Chrome if I put a quote. Had to cut the quote, cancel the post, then hit reply again, type out my entire reply, paste in the quote and then post it.
I've noticed the same thing. Another fix is to quote the text you want and then click the 'go advanced' button next to 'post quick reply' and 'cancel'. In the 'go advanced' page, the space bar will work again without the need to remove the quote.