But I cannot use it to install packages from CD! I want to install packages from CD, not from ftp/hhtp!
If you mean the "official" Fedora insallation CDs, you can use Install/Remove Applications tool (it's in the menu, System Configuration)
If not, you can install RPMs directly from CD doing rpm -ivh <your-package>.rpm (you must give it the complete path to the .rpm file(s))
-- Mariano