PeopleSoft Enterprise

Installing PeopleSoft PT8.53 and HCM9.2 for the first time. I'm trying to get a demo database and application up and running for the purposes of development. The database and OS are MS SQL Server 2008 R2 (64 bit).

I've been going through the installation guide and have just set up the application server domain. When I try to boot it I get the following:

Booting server processes ...

exec PSWATCHSRV -o ".\LOGS\stdout" -e ".\LOGS\stderr" -A -- -ID 35286 -D TESTSERV -S PSWATCHSRV :
process id=3316 ... Started.
exec PSAPPSRV -o ".\LOGS\stdout" -e ".\LOGS\stderr" -s@psappsrv.lst -- -D TESTSERV -S PSAPPSRV :
CMDTUX_CAT:1685: ERROR: Application initialization failure

tmboot: CMDTUX_CAT:827: ERROR: Fatal error encountered; initiating user error handler

tmshutdown -qy


From the logs:

The TUXLOG error is "LIBTUX_CAT:250: ERROR: tpsvrinit() failed".

The APPSRV log error seems pretty clear, but I'm not sure where in my setup I've gone wrong. "Database Signon: Invalid access ID or password for database signon. Make sure your ODBC data source is configured under the same user as the tuxipc service. Consult the PeopleSoft Install/Admin guide for more information."

I use the connect ID that I used in my DB setup to configure the app server domain. I'm also able to connect to data mover, application designer, etc. in bootstrap mode so I'm not sure what the problem with the login is. Any help would be much appreciated!