Project won't record unless I enable punch in

I'm working on a project that probably began in 8.5.  It won't record unless I engage punch-in and set the region to contain the area I want to record in.  

More specifically, I can arm the track, play and watch it draw the waveform, but as soon as I hit stop then it all disappears.

Is there some dodgy setting that I've unknowingly engaged or is it (yet another) glitch with opening old projects in X1?

Thanks for any help...