I tend to agree with most of your assessment, but did I miss some statement that they were unable to see Rand leveling the Shadowspawn army? Very possible, since I was moving overseas two days after I read the book and hadn't packed a thing yet.

I think it's possible that Rand is being healed of the madness since his epiphany, but it's definitely still there for now or Nynaeve wouldn't see that huge black cloud, whatever lay beneath it. He's just "functionally insane", as he was before (and had to be), with the added benefit of having made a kind of peace with his destiny, formed a plan of attack and, most importantly, found some real sustaining HOPE. That was as essential to the Last Battle as the Dragon himself, because so long as he ached for not only death but ANNIHILATION he was ripe for the DOs intention to produce precisely that. As long as the Creator offered no more than an endless cycle of repeated torment while the DO offered a final release, Randland was in horrible danger from its own champion. That doesn't mean he's not still mad as a hatter, but he's no longer self destructive or (quite) as tortured.

Beyond that, I agree with FTs analysis of the grain and apples (as I did when I first read the scenes).