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Apple ID Password window pops up continually...then disappears!

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So here's what happened. I went out and got a shiny new iPhone 5S. At the Apple Store, they activate the phone and start the iCloud restore process (which continues after I get home and re-connect to WiFi). The restore from iCloud was taking FOREVER and a few apps would NOT download, so I used iTunes to create a backup from my old 4S, and restored from the new backup.

After doing that, I thought woohoo! I can check out the iWork apps since they are free with my shiny new iPhone. But they show up as $9.99. So after some googling, I read you might need to log out of the App Store, reboot, and log in again. No problem, so I log out and reboot.

Now we hit our problem. I can't log back in. The Settings app does nothing when I type in my Apple ID and password. Worse, the popup alert asking me to sign in with my Apple ID pops up again and again, but disappears before I can type in anything.

I'm at a loss for ideas, can anyone help?

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