Windows 7 Ultimate 64-bit Black screen with Cursor hang

Hi I just installed Windows 7 Ultimate 64-bit. Things were working well for a week and now my win7 installation just hangs after the welcome screen with a black screen and mouse cursor. There is no CPU activity. The mouse moves. Using any keyboard shortcut key cntrl-alt-del etc... doesn't do anything.

I can boot into safe mode and boot in diagnostic mode with all services off just fine.

Also another thing I noticed, is that if I let the computer sit long enough, the screen saver will turn on and then the computer will go into sleep and then after it wakes from sleep it works just fine.

Anyone have any idea as to what is going on and how I can fix this. If someone wants a boot log I can paste that soon too. Not at home right now.

My hardware config

GA-P35-DS3L Mobo with E6850 processor. 4 gb ram and PNY 8600Gt graphics card (with dual DVI)

Hi rimmi2002,

have you tried booting into safe mode and updating the graphics driver?

If you could post the boot log that would be great..

Just do a repair install by booting from DVD

Try the Prevx fix:
Black Screen woes could affect millions on Windows 7, Vista and XP

Windows Black Screen of Death: What You Need to Know - PCWorld

I know you can't press CTRL-ALT-DEL but there is a down-loadable fix. Also, try to press the CTRL-ALT-DELETE alternative: CTRL-SHFT-ESC

Tried everything mentioned here and nothing worked. So Ended up just reinstalling windows. I hope this works.

To add: If you performed an "upgrade" from Vista, that's likely the source of your problems.
If the problem persists, you can try removing one of your RAM modules, updating the BIOS, and as Kemical suggested, updating not only graphics drivers, but also chipset.