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I think it may be because the atom.xml file isn't valid. I believe I've supplied the correct information to both feedreader and blogger.
I created a simple test feed (mentioned in the first post) and it worked exactly as expected.
I suppose the main difference here is how to insert XML code into the blogger template since these posts are obviously being generated dynamically.
Does your feed reader accept Atom feeds? And can you open up the atom.xml file in Internet Explorer? That would at least prove that it's valid xml.
I'm using FeedReader and Google Reader, only the site description appears and site title appears.
I'm not sure if I have to edit the atom.xml file itself or the Blogger template code to extract the posts/titles in addition to the site title/description.
This make any sense? Thanks!