While I'm now testing Blog beta 7, I found this issue also in beta 5. I'm migrating my weblog from plain HTML to a Wordpress based one. While trying to publish to WordPress via XML-RPC, all the accentuated characters on the old entries appear as '�' (question mark sign). Only in the old entries made with the old version, which in my case used to be the 7.1 version. I'm testing it on a WP weblog in a local web server.
I've found that just by saving again each entry (by making any modification on the text, undoing it and pressing 'save' button) and publishing it again, the accentuated characters appears correctly. But this only fixes the issue in the main text: the title still shows the bad character.
Well, maybe it'll be a good oportunity to check and re-read all my old entries back to 2003, but I'd be really grateful if you could provide a workaround for this that doesn't imply to edit manually the old 786 entries...
Thanks in advance and best regards,