I did find this out in another message here and they are right. This is a missing piece (one of many!) in the text install.
Even if you select Gnome as your workstation WIndows environment, not all of Gnome gets in. You still have to do:
yum groupinstall "GNOME Desktop Environment"
Then edit /etc/inittab file to reflect as shown below
id:5:initdefault: ^ This number should be 5.