When you try to grab the blue text box floating above the clip, iMovie will think you’re trying to move the cursor (the red line) that marks where you are in the clip. No matter how you try to grab the little bugger, it won’t work. (Well, occasionally it seems to, but I haven’t figured out why.)

The trick (which I keep forgetting, which is one reason I’m blogging this) is to click on a clip so that you get the thick yellow outline around it, and then click on the little gear button that appears at the bottom left of the clip, and choose “Precision Editor.”

Now you’ll be able to drag the text box to where you want.

Don’t forget to close the Precision Editor by clicking on the “Done” button that shows up at the top of the bottom window (well, unless you’ve switched the position of the windows) so that you can go back to normal editing of the clip.