Check the BIOS for boot order to make sure the hard drive is set to boot. The second part of the installation boots from the drive, if the drive is disabled from booting this would cause the loop. If that does not work then you should try zero filling the drive with Seatools for DOS (http://seatools.seagate.com). A timed zero fill for about 1 minute should take care of the problem. (NOTE: Zero fill erases the drive, don't perform this on a drive that has data you need).
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Regards,
Richard T.
Having a backup of your important data is always a wise decision.