Updates not displayed (no error reported)

I am currently using Win XP with SP2. Running a slow connection (around
20-40kbps...what can I say, I live in India. It's supposed to be a 256kbps
connection)

1) I go into the Update site.

2) The site loads completly.

2) I Select Custom Install.

3) I see the "Windows Update looking for available updates..."

4)The "Windows Update looking for available updates..." message goes away
and the left hand frame populates showing with Review high priority updates
(2), Select optional software updates (2) and Select Hardware updates(1). The
right hand frame displays "Total updates seleted:" and "Go to install
updates". below this is a blue line and then blank space where the actual
updates "Should" be displayed.
In the Status Bar at the bottom, I see "(3 items remaining) Download picture
http://v5.windowsupdate.microsoft...." but i never finishes downloading(i've
tried waiting 30min) and my network connection shows no activity
5) so I click on any of the links on the left hand frame. The page refreshes
and I get the same thing in the Right hand frame: "Total updates seleted:"
and "Go to install updates". below this is a blue line and then blank space
where the actual updates "Should" be displayed.
6) I've checked my windowsupdate.log file and no errors are reported.

7) I have also set the update site as a trusted site and disabled pop-ups
for the site.

The site loads fairly quickly. All except the updates, which never show up.

Any ideas?

Thanks,
Darin