How to configure an HTTP Proxy like Fiddler2 or Charles Web Proxy with the latest Android Emulator on Windows?

I'm at complete odds over configuring a proxy to inspect the HTTP(S) traffic for the app I'm developing. I've tried running Fiddler2 and Charles Web Proxy, both run on 127.0.0.1:888, and starting up the Android emulator with the parameter:

-http-proxy http://127.0.0.1:8888

To test it out I open the Android browser. I see in Fiddler2 that the request is routed through the proxy. However, only RARELY does the request receive a successful response. In most, and when I say most I mean 99% of the time, the request is retried and fails again with the Android browser telling me "The server failed to communicate".

Has anyone found a way to configure Fiddler2 or Charles for debugging HTTP(S) traffic through the Android emulator?