Hello,
As far as I know, Squid doesn't support gzip/deflate.
As I was playing with Ethereal, I captured some packets between Squid and my Apache, and to my surprise, these were compressed using gzip/deflate!
I checked several times, I even changed the User agent's header with header_replace to see if the packets are really coming from Squid - and they were.
I checked that against several other web servers in the net, and some of the transmission (from the servers that support it) was compressed using gzip/deflate.
The pages saved in Squid cache were not compressed, though, but this is not an issue.
How is it possible?
To my "tests" I was using squid-2.5.STABLE6, Mozilla Firefox 1.0 and Ethereal 0.10.9.
Tomek