Anthropology.net via JWZ:

Stephen Juan, an anthropologist from the University of Sydney answers Lee Staniforth of Manchester, UK question, “Do humans have a compass in their nose?” He writes about some scientists at California Institute of Technology discovered that humans possess a tiny, shiny crystal of magnetite in the ethmoid bone (pink bone to the image on your right), located between your eyes, just behind the nose… but doesn’t give us any clue as to where the research was published.