Re:

>> . . . RIGHT ONTO THE MUNTINS!  No setting bed.  Do you think I'm just
>> cutting corners?  Is the pressure getting to me?  What would you do?

and

>Bed with siliconized latex caulk. Soft, easy fit, easy clean-up.

I had windows in a 1960's house (I designed and I helped build it myself)
with dry set glass in wood frame with quarter round stops...it leaked like
crazy, especially when the wind blew.  The primary reason for bedding the
glass is to stop water and protect the wood.

I had wood storm windows built for my 1880's house (the Church of the Holy
Restoration) with big sheets of glass set in butyl and puttied on the
weather side.  One day while while changing a storm window on the second
floor the wind took the 5' sash out of my hands while I watched it sail
down to an on-end-landing flopping over onto the lawn.  NO BREAKAGE!   I
became a believer in good resilient sealant bed for the glass (the
sil-latex is good too) with a paintable, renewable bead of sealant or putty
on the outside (or removable stop, assuming it's exterior set and you want
to keep the look).

The original 1880's main windows had linseed oil putty bed and bead, some
of which was still soft (!) after 100 years, some rock hard and bonded to
the frame and glass...un-removable without breaking original wavey glass.
In accordance with 1880's style, (re-) putty is painted, and renewed
without resetting the glass.

To thine own style be true!   --Rev Jimmy