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effective links

Hi,
My flooring tools site in the link below is optimized for the phrases contained in the link (ceramic tile tools, carpet installation tools).
On the home page itself, close to the top, I have links to my carpet tools and ceramic tools pages with the link text being the keywords.
Now, is this helping or hurting my home page ranking for these keywords? I didnt want to link the page to itself for inbound links, because to me this is spamming and impractical, but will linking out to the appropriate tools pages hurt my ranking? Would it be more effective to surround the words with <b> tags? Thanks!

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@chrisranjanaJun 23.2004 — If you could post your google pagerank that will tell us more.
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