I don't see why your title tag wouldn't show. It does work, as I see the title from the code on my browser tab. I also see it in Google.
I checked your code and mine and they're pretty much the same, I'm just using a different doctype and a different syntax for content type:
<!DOCTYPE html PUBLIC "-//W3C//DTD XHTML 1.0 Strict//EN" "http://www.w3.org/TR/xhtml1/DTD/xhtml1-strict.dtd">
<html xmlns="http://www.w3.org/1999/xhtml">
<head>
<meta http-equiv="content-type" content="text/html; charset=UTF-8" />
<title>$title</title>
</head>
I can only conclude that the free tools you were using are buggy. They're reading the page source, scraping the data, and then trying to make sense of the data character by character. A lot can go wrong there if the coder didn't anticipate all possible scenarios. A single blank character might ruin the process.
That's what you get with free tools. But your title is there.
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