Can't reinstall DirectX

I am trying to install game on Windows XP and if I am getting to the Directx install, then it fails/ So I am running it manually, but still I get the below errors:

Installing components.
Installing...
An internal system error occurred.
Please refer to DXError.log and DirectX.log in your Windows folder to determine problem.

When I checked in the dxdiag then it tells me that gcdef.dll is an older version and could cause issues. So, when I search for same problems over the net then I can only get the suggestions to shutdown in msconfig and all non-MS services and restart and reinstall. That will not work though. So does anyone have any solutions?

DXError.log:

[12/29/08 22:03:44] module: dxupdate(Jul 20 2007), file: dxupdate.cpp,
line: 189, function: GetDXVersion

Failed API: RegQueryValueEx()
Error: (2) - The system cannot find the file specified.


--------------------
[12/29/08 22:03:44] module: dxupdate(Jul 20 2007), file: dxupdate.cpp,
line: 4740, function: DirectXUpdateGetSetupInformation

GetDXVersion() failed.

--------------------
[12/29/08 22:03:44] module: dsetup32(Jul 20 2007), file: dxupdate.cpp,
line: 280, function: CSetup::InstallPlugIn

DirectXUpdateInstallPlugIn() failed.

--------------------
[12/29/08 22:03:44] module: dsetup32(Jul 20 2007), file: setup.cpp,
line: 1701, function: CSetup::SetupForDirectX

InstallPlugIn() failed.

--------------------
[12/29/08 22:03:58] module: dxupdate(Mar 5 2008), file: dxupdate.cpp,
line: 189, function: GetDXVersion

Failed API: RegQueryValueEx()
Error: (2) - The system cannot find the file specified.

You can try to download the Correct DirectX 9 "Logo Error" from here and see if that helps.

Thanks for responding, but I installed the .reg and restarted, but when I run the DirectX setup then I am getting:
"Installing Components...
Searching for updated DirectX Runtime Components..."
and then "An internal system error occurred..."

[12/30/08 15:26:01] module: dxupdate(Jul 20 2007), file: dxupdate.cpp,
line: 189, function: GetDXVersion

Failed API: RegQueryValueEx()
Error: (2) - The system cannot find the file specified.

Current DirectX may be a older version which does not have the version value in the registry.

If you want to resolve this issue, download and install the latest version of DirectX. For more information about how to obtain the latest version of DirectX, click the following article number to view the article in the Microsoft Knowledge Base: http://support.microsoft.com/kb/179113