I tried it using IE5.5, it worked.
To use IE5.5 for styling xml documents you must install Microsoft XSL plug-in (MSXML3.0). The following are the instructions to set up MSXML3.0
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The following instructions are from Roger's xsl tutorial at xfront.com:
Download xmlinst.exe from
http://msdn.microsoft.com/msdn-files/027/001/469/xmlinst.exe Double click on the downloaded file. This will result in extracting some files.
Open a DOS window. Change directory to where you placed the extracted files. Set the path
environment variable to include the directory where regsvr32.exe is located (on Windows 98 it is
on c:\windows\system, on WIN2000 it is C:\WINNT\system32) Then type the following commands:
xmlinst
regsvr32 msxml3.dll
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IE is ready to use for transforming XML documents
Note: There's a new version of XML parser MSXML4.0. I had problems setting it up, so I am using MSXML3.0. It'd be great if someone could tell me how to install and use MSXML4.0 for transforming XML docs.