Well, this is quite a development! It has issues, but still.
I am RUNNING UBUNTU, LXDE X11 + USB MOUSE, USB KEYBOARD on NOOK SIMPLE TOUCH
Here’s one photo:
Click = big
And after the break, another.
Click = big
My next Nook Touch Rooting News post will likely be sometime next month, once the new Nook Touch with GlowLight has gotten into the hands of the wizards at XDA Developers and we know what — if anything — has been changed internally with both hardware and software.
Mike Cane’s xBlog 
All I can say to this is USE Linux, it blows the other OS’s off of the stage. Freedom computing.
Hey, some background information would be cool, especially: How did you connect a USB mouse? Did you have to wire a new connection? Or does it work somehow with an adapter and the mini usb connection? Can you confirm the Nook has Bluetooth inside? Did you try using that?
I did not do the video. Clickthrough to YouTube and ask your questions there.