Honestly. I read a little and couldnt read anymore. I know they are just kids but it seems wrong. I agree they should all be psychologically evaluated.
Its just not right on so many levels.I dont think ur overreacting...mainly because I have a memory when i was about 7 or 8 ..of a girl a bit older than me doing things to me and although it was nowhere near as traumatic as my main abuser... but it did make things confusing for me, and when I asked my mother about she dismissed it. I think it should be dealt with by a professional. The experience didnt traumatize me , it just made me confused.. so u shouldnt worry about trauma, but ..worry about why this behavior is happening.

sorry if im no help at all with this..or if i interpreted it wrong.

u sound like a really good mom <3 somteims kids just do crazy stuff