I wouldn't worry about the picking up and patting your daughter crazydutch, that happens to my son ALL the time. There's nothing sinister about that, they're just expressing how beautiful they think she is. Especially since they don't see a lot of blonde haired blued eyed babies.

I can't go through a mall here without having my son's picture taken at least once! Once an Indian family of about 10 people all asked if they could take their picture with him, and he was passed around giggling and smiling from grandma to their ten year old daughter. It was sweet. :)