What the heck??? This is Head-Fi, not Model-Fi. <shakes head at you in shame>

Perhaps you should just do away with the fanny pack altogether since you say you don't have that problem when you're not walking around. I have the same Silvercab LOD, for the iPod though, and I never had that problem. Then again, I don't use a fanny pack, and I don't travel much. Perhaps you can sew yourself a new cotton travel bag out of the remainder of your shorts.
Edit: I see that you solved your static problem. Still, get rid of the shorts. Girls may think you look cute now, but in 5 years the Spiderman undies won't earn you any brownie points.