Installing ArchLinux, can't find partition/root

[atrixiex]

I've used Ubuntu Server earlier but decided to migrate to ArchLinux. I've followed the beginners guide on the official site, read the wiki and googled but can't seem to find a solution although I'm sure it's something simple.

After selecting my ArchLinux install with Grub it can't find the partition specified for my root. One other partition boots but there is nothing on it so it can't find /sbin/init.

I'll give you the information first and then the error message:
Version 2.6.33.4

disk/partition#	UUID	Purpose
sda1	7e456a2c-c6b1-4458-a14a-1bd3e14043e5	Storage
sdb1	f759577b-b219-438f-972b-73be9b57b633	Storage
sdc1	0147f5cb-4501-4bcd-b55e-3bdcf656708b	Storage
sdd1	704c5080-06e1-4b43-a18a-00d61be4d0c6	Boot
sdd2	61399044-f8b4-4904-8a12-c87065a42125	Swap
sdd3	760aa8a4-6916-4bbe-a63e-df4885fa7974	Root
sdd4	1017ec17-8bde-4afd-a594-144745d9fe71	Home

On sdd1 which is the boot partition I get the following from 'ls -l':

-grub
-kernel26-fallback.img
-kernel26.img
-System.map26
-vmlinuz26

The menu.lst in grub looks like this (I got (hd0,0) from 'grub> find /grub/stage1'):

grub menu.lst
# (0) Arch Linux
title Arch Linux
root (hd0,0)
kernel /vmlinuz26 root=/dev/disk/by-uuid/760aa8a4-6916-4bbe-a63e-df4885fa7974 ro
initrd /kernel26.img

# (1) Arch Linux
title Arch Linux Fallback
root (hd0,0)
kernel /vmlinuz26 root=/dev/sdd3 ro
initrd /kernel26-fallback.img

sdd3 which is the root partition looks like this with 'ls-l':

-bin
-boot
-dev
-etc
-home
-lib
-media
-mnt
-opt
-proc
-root
-sbin
-srv
-sys
-tmp
-user
-var

I grew frustrated and input the uuid for all partitions and the only one that got recognised and booted from was sda1 but that contains nothing so it complained about not finding /sbin/init.
In every other case I get the following error:

Waiting 10 seconds for device /dev/disk/by-uuid/760aa8a4-6916-4bbe-a63e-df4885fa7974 ...
Root device '/dev/disk/by-uuid/760aa8a4-6916-4bbe-a63e-df4885fa7974' doesn't exist. Attempting to create it.
ERROR: Unable to determine major/minor number of root device '/dev/disk/by-uuid/760aa8a4-6916-4bbe-a63e-df4885fa7974'.
You are being dropped to a recovery shell
    Type 'exit' to try and continue booting
/bin/sh: can't access tty; job control turned off

Why does it not recognise my partition when I identify it by UUID? I might need to mention that I'm doing all the OS partitions on a USB-memorystick. The sda1 partition is a regular SATA-disk but the other SATA-disks (sdb1, sdc1) is not recognised either.

Any ideas about what my problem/solution is or what more information might be needed? Thanks in advance!

[Jonathan183]

what does blkid report?
if you use root=/dev/sdd3 does the system boot ... is it just uuid that causes a problem?

... it's quite a while since I did a fresh install but I'm sure I was asked as part of the install if boot from USB was required ... did you answer yes to this?