Recently when I was setting up a medium server farm I ran into some issues with the search service. The SSP created correctly but when you would click on Search Settings you would get the error Authentication failed because the remote party has closed the transport stream. Nothing else would display on the page.
Also, in the System Event Viewer of two of the servers I received the error A fatal error occurred while creating an SSL server credentials. Also, one of the query servers in the farm was throwing 6482 errors in the Application Event Viewer every minute.
It turns out there was an issue with the self signed SSL certificate on the Office Server Web Services web site. I had to run download the IIS 6.0 Resource Kit and run SelfSSL on each server in the farm to recreate the certificate on the Office Server Web Services web site.
Here is an example of the command I ran to fix the issue;
C:Program FilesIIS ResourcesSelfSSLselfssl.exe /T /S:[Office Server Web Services Site ID from IIS]
Run an iisreset when this is complete.