I found out the other day that DreamHost also stores control panel passwords in the clear.
You can also view MySQL user passwords by clicking on the username in the panel (https://panel.dreamhost.com/index.cgi?tree=goodies.mysql). This shouldn't be a big deal, though, as you have to store the passwords in the clear in config files anyway.
After looking at the ping and traceroutes, this is not an issue of server slowness, but of the connection slowness from DE to the United States, and as such there is nothing I can do to assist you in this matter.