Yeah, at work I use 1600 x 1200 (so I can fit in all the AutoCrud menus on a 17" screen) which makes the text awfully small.  Here at home I use 1024 x 768.  I should probably try Opera again someday.  Does it still zoom?
Both IE and Firefox allow you to increase the text size.  It's under "accessibility" in IE.  You can set it ignore text size (if the Web page has a set text size) and use your preferences.  Firefox is easier - just get one of many extensions for controlling text size.  I used to use Textzoom, but I don't know if it's been updated for the latest version of Firefox.  I'm using Text Size Toobar now.
Yes Opera still zooms.

Using Opera 9, tech preview 2, works like a champ.  Touch the "+" on the keypad and blow it up as big as you want.