MySQL Editor Hangs on attempt to Launch

I have just downloaded the latest Community Installer (5.5.27) along with the MySQL WorkBench (5.2.41). I clicked OK on all default settings on setup.

When I try to "Open a connection to start querying" on the WorkBench home page and chose "Local Instance MySql 55", I keep getting stuck on a never-ending "Opening SQL Editor" screen ("An SQL Editor instance for "Local Instance MySql 55" is opening and should be available in a moment")

Any idea on what could be wrong ?

EDIT :
I am able to access it from command line and query it successfully. But still not from query editor.

Thanks Mika, I tried your solution in workbench (5.2.41). It worked after I cleared the passwords in the vault (click Manage Connections) and restarted the WorkBench.

To clear passwords stored in the vault, I did the following:

• Open MySQL WorkBench the you will see the home page

• Click Manage Connection at bottom left corner.

• In Manage DB Connections, click Clear button besides Store in Vault...

• Close it and restart WorkBench.

• Double click Local instance mysql in home page, now you db will popup.

StackExchange Database Administrators Q#21991, answer score: 12