I think alot of people have felt the same as you. My first week loss wasnt massive compared to many others, 7lbs is still alot though! And you need to remember that alot of that is water weight not fat.
I day dream alot about healthy food and how I can live a low carb livestyle once I meet my goal weight. But that's a good thing, it shows you are thinking of changing your life style for the better and thus have a better chance of maintaining!
As for people eating around you, I think it bothers everyone on some level, you just learn to ignore it. It doesn't make me feel hungry it just makes me want it even though I know I don't need it, so just keep telling yourself that.
Good luck x