Hello, jodielee, and welcome to the forums
Now this is interesting, and although I am by no means an expert I will try what I can.
You say that you have Internet Explorer 7...............are you accessing Windows Live Hotmail through that or through another browser ?
A lot of people, including me, are having the same problem using other browsers in that we can access our inbox but thereafter all links on the page are unresponsive to the mouse, including trying to open mails.
Although I have that problem using Opera, the site works correctly when I use IE.
Microsoft has stated ( I have lost the link) that they intend that only IE, Safari and some versions of Firefox will be able to access the site..............
There are various suggested workarounds on the different browser help forums, but none are working properly.
If, however, you are using IE and it is still not working for you then that is first instance of that error that I have seen.
Again, if you are using IE, is you Java up to date, do you have problems on any other site