Björkism

For a while I've had the first verse to Björk's [hilarious] song "Gling Gló" stuck in my head, and have been puzzling over how it translates. It goes like this:

Gling gló, klukkan sló
Máninn ofar skyum hló
Lysti upp gamli götusló∂
Thar gla∂leg Lína stó∂

My meagre understanding of Icelandic allows me to make out at best that it might mean something like:

"Gling gló, the bell rings
The moon (hló?) over the clouds (?)
Lights up the old street- (götu?) something (ló∂)
Where happily Lína stood"

Help me, Icelandic speakers!