Based on all the descriptions you gave, email messages are not able to properly synchronize with the email servers since the changes that you want to do on MSN are not being saved.
There could be several reasons why this is so.
First, please check the email servers by following the steps on this link to access http://hotmail.com/: http://answers.msn.com/solution.aspx?solutionid=a5fb54a8-e777-4f80-bf64-c2db72c9d905
Try to check if you can send a test email to yourself and if you’ll be able to receive it. If you’re not able to do so, please check the Private Message below.
Second, go to the email page and check if you only have 1 Inbox. If there are others, please follow these steps to remove additional email accounts which maybe causing the concern:
1. Click on Help & Settings at the top then click Settings.
2. Click "1 Change your e-mail settings"
3. Click "Additional e-mail accounts"
4. Click "Additional MSN and Hotmail e-mail accounts"
5. Select the account you want to remove then click the Remove Account button.
6. Click Yes to confirm
7. Click Save Changes
8. Click Done
9. Click the Mail&More icon at the top to go back to the email page
10 The additional email account should no longer be on the email page.
Third, if you’re able to send and receive email messages through hotmail, it means that the email synchronization file (SDF) that is found on the computer has gotten corrupted causing MSN not to be able to download the email messages. Please follow these steps so the file can be replaced: http://answers.msn.com/thread.aspx?threadid=1e24ba67-43eb-44af-a24d-8462d528464b
If the same issue persists, please click on the triangle beside the Inbox and select More Information. Kindly copy the complete error information especially the one beginning with the hexacode 0x.
Feel free to reply to this post for any questions and feedback.
Thanks!