Your script is only executing once; when the page loads. When 1:00 arrives the page isn't testing the time anymore.
I'd use
Code:
<script language="JavaScript">
function timer {
day = new Date()
hr = day.getHours()
if (hr==1) {document.soundfile1.play()}
setTimeout ('timer()', 1000);
</script>
This function will call itself second (1000 miliseconds) and check the time again.
To start the process add this to your body element
<body onload='timer()'> ... </body>