I've caught it. My knitting friend, Rebecca, said that it would be addictive, and spinning definitely is. Even when you're not very good at it.
Here's my progress so far:
So that fluffy stuff on top, that's fleece. That's how it starts (well, after a long process that I'm too tired to explain right now, you get fleece)
Then you draft it (pull thin strips of fleece from the larger chunk) while spinning the spindle to get twist in it, and twisting fleece is what makes yarn. What's on the spindle right now is a single ply of yarn. To make anything, I will need to spin together at least two plies of yarn to actually make a yarn that weighs enough to make something with.
Pretty cool, eh?
I have a new obsession :D