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I agree with Chris. I haven't been keeping a close eye on the latest SERPS but my previous theory was that google runs many checks on your inbound links. Basically things like how long they stay linking to you etc.. and during this period google wouldn't credit the benefit of having these incoming links to your site. Once the checks were finished then they would credit them and your rankings would improve. Many people have different theories on this subject, as a first port of call do a google for "Sandbox Effect".
IMO getting quality links from trusted sites in a steady manner is the best way for initial link building. Do a google for "Authority Sites" for more information.
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Endless Loop: n., see Loop, Endless.
Loop, Endless: n., see Endless Loop.
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