This is normal.... please read this:

http://en.wikipedia.org/wiki/Hypnagogia

Disrupted sleep, may place a person into these states more often. They are alarming if misunderstood. But I think everyone gets them from time to time.

My husband's aunt used to do this... repeat her unusual thinking during the day. One of her favorites was that "mice were biting on matches in the cupboard, and would set the house on fire"...

We knew she was odd... so we discounted it. And we dutifully put all matches in glass jars at our shared vacation home to appease her. Eventually we got rid of all matches..and now use those clicky thingies that start the stove or grill. Then we found a recent newspaper article that said " mice chewing on matches are a common cause of home fires, especially in older homes!" Duh?

But this example is illustrates how our mind may wander when 1/2 asleep~1/2 awake! Some great art and creative scientific thinking may have come from this state too!