problems running Psychtoolbox

Hello everyone,

I have installed the latest Psychtoolbox version and tried to use it.
However, I couldnt run even a basic script. Here is what I tried to run:

w=screen(0,'openwindow',127);
hidecursor;
screensize=screen(w,'rect');
YY_2=round(screensize(4)/2);
screen(w, 'textfont', 'Arial');
screen(w, 'textsize', 100);
screen(w, 'drawtext', 'PRESS SPACE TO TEST', 280, YY_2-100, 255);
testkey=kbname('space');
[t, K]=waitforkey;
if K(testkey)
screen(w, 'close');
showcursor;
end

When I run it, it first goes to white screen (while testing and
calibrating hardware I assume), then it display the gray screen and it
exits when I press spacebar. It doesnt show any text on the screen.
Sometimes, it may show it very briefly right after I press spacebar
and before it exits, but not even every time. What is going on?
I am running Matlab 7.4.0.287 (R2007a) in Windows XP SP2. Here are
some messages it outputs in Matlab prompt:

>> ax_temp

PTB-INFO: This is the OpenGL-Psychtoolbox version 3.0.8. Type
'PsychtoolboxVersion' for more detailed version information.
PTB-INFO: Psychtoolbox is licensed to you under terms of the GNU
General Public License (GPL). See file 'License.txt' in the
PTB-INFO: Psychtoolbox root folder for a copy of the GPL license.

OpenGL-Extensions are: GL_ARB_multitexture GL_EXT_texture_env_add
GL_EXT_compiled_vertex_array GL_S3_s3tc GL_ARB_depth_texture
GL_ARB_fragment_program GL_ARB_fragment_program_shadow
GL_ARB_fragment_shader GL_ARB_multisample GL_ARB_occlusion_query
GL_ARB_point_parameters GL_ARB_point_sprite GL_ARB_shader_objects
GL_ARB_shading_language_100 GL_ARB_shadow GL_ARB_shadow_ambient
GL_ARB_texture_border_clamp GL_ARB_texture_compression
GL_ARB_texture_cube_map GL_ARB_texture_env_add
GL_ARB_texture_env_combine GL_ARB_texture_env_crossbar
GL_ARB_texture_env_dot3 GL_ARB_texture_mirrored_repeat
GL_ARB_transpose_matrix GL_ARB_vertex_blend
GL_ARB_vertex_buffer_object GL_ARB_vertex_program GL_ARB_vertex_shader
GL_ARB_window_pos GL_ARB_draw_buffers GL_ATI_draw_buffers
GL_ATI_element_array GL_ATI_envmap_bumpmap GL_ATI_fragment_shader
GL_ATI_map_object_buffer GL_ATI_separate_stencil
GL_ATI_shader_texture_lod GL_ATI_texture_compression_3dc
GL_ATI_texture_env_combine3 GL_ATI_texture_float
GL_ATI_texture_mirror_once GL_ATI_vertex_array_object
GL_ATI_vertex_attrib_array_object GL_ATI_vertex_streams
GL_ATIX_texture_env_combine3 GL_ATIX_texture_env_route
GL_ATIX_vertex_shader_output_point_size GL_EXT_abgr GL_EXT_bgra
GL_EXT_blend_color GL_EXT_blend_func_separate GL_EXT_blend_minmax
GL_EXT_blend_subtract GL_EXT_clip_volume_hint
GL_EXT_draw_range_elements GL_EXT_fog_coord GL_EXT_framebuffer_object
GL_EXT_multi_draw_arrays GL_EXT_packed_pixels GL_EXT_point_parameters
GL_EXT_rescale_normal GL_EXT_secondary_color
GL_EXT_separate_specular_color GL_EXT_shadow_funcs GL_EXT_stencil_wrap
GL_EXT_texgen_reflection GL_EXT_texture3D
GL_EXT_texture_compression_s3tc GL_EXT_texture_cube_map
GL_EXT_texture_edge_clamp GL_EXT_texture_env_combine
GL_EXT_texture_env_dot3 GL_EXT_texture_filter_anisotropic
GL_EXT_texture_lod_bias GL_EXT_texture_mirror_clamp
GL_EXT_texture_object GL_EXT_texture_rectangle GL_EXT_vertex_array
GL_EXT_vertex_shader GL_HP_occlusion_test GL_NV_blend_square
GL_NV_occlusion_query GL_NV_texgen_reflection GL_SGI_color_matrix
GL_SGIS_generate_mipmap GL_SGIS_multitexture
GL_SGIS_texture_border_clamp GL_SGIS_texture_edge_clamp
GL_SGIS_texture_lod GL_SUN_multi_draw_arrays GL_WIN_swap_hint
WGL_EXT_extensions_string WGL_EXT_swap_control

PTB-INFO: OpenGL-Renderer is ATI Technologies Inc. :: 128MB ATI Radeon
X1300 x86/SSE2 :: 2.0.5885 WinXP Release
PTB-Info: VBL startline = 1050 , VBL Endline = 1078
PTB-Info: Measured monitor refresh interval from beamposition =
16.698684 ms [59.884960 Hz].
PTB-Info: Will use beamposition query for accurate Flip time stamping.
PTB-Info: Measured monitor refresh interval from VBLsync = 16.702540
ms [59.871132 Hz]. (291 valid samples taken, stddev=0.298258 ms.)
PTB-Info: Reported monitor refresh interval from operating system =
16.666667 ms [60.000000 Hz].
PTB-Info: Small deviations between reported values are normal and no
reason to worry.
PTB-INFO: Using OpenGL GL_TEXTURE_RECTANGLE_EXT extension for
efficient high-performance texture mapping...

PTB-ERROR: Screen('Flip'); timestamping computed an *impossible value*
418739.604343, which would indicate that
PTB-ERROR: stimulus onset happened *before* it was actually requested!
(Earliest possible 418739.605307).
PTB-ERROR: Something is broken in your systems timestamping.
High-precision timestamping disabled,
PTB-ERROR: reported timestamps will be less robust and accurate, but
hopefully at least not completely wrong.
PTB-ERROR: Please try to find and fix the problem if you rely on exact
stimulus timing.

Thank you.