After installing sp3 no updates are being installed

Last night i installed Xp with Sp2 a fresh install
then i downloaded this sp3 & installed it but now it says no updates can be installed but downloaded. Other applications & programs are being installed & uninstalled. Only problem is with the windows updates.
Thanks!

Try a reboot.
Or may be a reinstall can solve this problem. I think there are some bugs with SP3.

Read this thread for more information.