Consider this example:
http://jsfiddle.net/treeface/P8JbW/
HTML:
From the CSS3 spec:
The computed values of
overflow-xandoverflow-yare the same as their specified values, except that some combinations withvisibleare not possible: if one is specified asvisibleand the other isscrollorauto, thenvisibleis set toauto. The computed value ofoverflowis equal to the computed value ofoverflow-xifoverflow-yis the same; otherwise it is the pair of computed values ofoverflow-xandoverflow-y.
From this it would seem that some combinations of overflow-x & overflow-y are not valid, and sometimes one will override the other, which would explain what you're seeing here. Though I'm unsure as the wording as a bit unclear and the way browsers actually implement it could vary from the spec (especially when it's hard to decipher).