I'm dealing with the following issue:

I can ping google and receive return with no packet loss
I can use msn messenger
I can ping my router and other networked computers
I cannot connect to web pages via IE7
I cannot update AVG free - "connection to update server failed"
The computer has been rebooted numerous times
The internet is known to be working because I'm posting from it.

The computer runs Windows XP SP2 is connected by ethernet to the router.
The windows firewall has been disabled.

My "Network Connections" tab in the Control Panel reads:

LAN or High-speed internet
1394 Connection - disabled
LAN connection - connected


I am now rather stumped. Any help would be greatly appreciated.