Okay, so I've been beating my head against the wall on this one for a couple of days now and I guess I'm going to have to surrender to needing help. Here are the pics first so y'all can see the obvious issue I'm having:
Just turn on this viewmode, then it's lighting only with normals enabled, that way it's easier to spot if the normals are ok on your mesh. For checking out the specular do what JonathanLambert said :) http://udn.epicgames.com/Three/ViewModes.html#Detail Lighting
Are you using a dominant light? Non dominant lights bake specular reflections, whereas with dominant lights the direct lighting is dynamic. For a weapon model, I think a dynamic light would work better. Just convert that to a mover or some other that relies on dynamic lighting ;)
Your normals were inverted in your previous screens. Something you have done since then fixed that. A new import of the textures in the new version of UDK with the proper import settings most likely fixed that.
Xendance, I'll try it out and shift back to a dominant directional light. I got rid of mine in favor of point lights because I understood how to control shadow sharpness better. sprunghunt Maybe next time, sure. But for this time, your suggestion doesn't help me understand what is actually happening here. It might be that…