Please post a new HijackThis log and let me know how your system is running.

It's not running much faster, if any faster at all. here's the new log:

Logfile of Trend Micro HijackThis v2.0.2
Scan saved at 10:15:40 PM, on 2/17/2008
Platform: Windows XP SP2 (WinNT 5.01.2600)
MSIE: Internet Explorer v7.00 (7.00.5730.0013)
Boot mode: Normal
Running processes:
C:\WINDOWS\System32\smss.exe
C:\WINDOWS\system32\winlogon.exe
C:\WINDOWS\system32\services.exe
C:\WINDOWS\system32\lsass.exe
C:\WINDOWS\system32\Ati2evxx.exe
C:\WINDOWS\system32\svchost.exe
C:\WINDOWS\System32\svchost.exe
C:\WINDOWS\system32\Ati2evxx.exe
C:\WINDOWS\system32\spoolsv.exe
C:\WINDOWS\Explorer.EXE
C:\Program Files\Grisoft\AVG Anti-Spyware 7.5\guard.exe
C:\Program Files\Bonjour\mDNSResponder.exe
C:\WINDOWS\system32\CTsvcCDA.EXE
C:\WINDOWS\system32\HPZipm12.exe
C:\Program Files\Analog Devices\SoundMAX\SMAgent.exe
C:\WINDOWS\System32\svchost.exe
C:\Program Files\Grisoft\AVG Anti-Spyware 7.5\avgas.exe
C:\WINDOWS\system32\wscntfy.exe
C:\Program Files\QuickTime\qttask.exe
C:\WINDOWS\system32\ctfmon.exe
C:\WINDOWS\system32\wuauclt.exe
C:\WINDOWS\system32\wuauclt.exe
C:\Program Files\Internet Explorer\iexplore.exe
C:\Program Files\Trend Micro\HijackThis\HijackThis.exe
R0 - HKCU\Software\Microsoft\Internet Explorer\Main,Start Page = about:blank
R1 - HKLM\Software\Microsoft\Internet Explorer\Main,Default_Page_URL = MSN.com
R1 - HKLM\Software\Microsoft\Internet Explorer\Main,Default_Search_URL = Live Search
R1 - HKLM\Software\Microsoft\Internet Explorer\Main,Search Page = Live Search
R0 - HKLM\Software\Microsoft\Internet Explorer\Main,Start Page = MSN.com
R1 - HKCU\Software\Microsoft\Windows\CurrentVersion\Int ernet Settings,ProxyOverride = *.local
O2 - BHO: AcroIEHlprObj Class - {06849E9F-C8D7-4D59-B87D-784B7D6BE0B3} - C:\Program Files\Adobe\Acrobat 5.0\Reader\ActiveX\AcroIEHelper.ocx
O2 - BHO: SSVHelper Class - {761497BB-D6F0-462C-B6EB-D4DAF1D92D43} - C:\Program Files\Java\jre1.6.0_03\bin\ssv.dll
O4 - HKLM\..\Run: [!AVG Anti-Spyware] "C:\Program Files\Grisoft\AVG Anti-Spyware 7.5\avgas.exe" /minimized
O4 - HKLM\..\Run: [QuickTime Task] "C:\Program Files\QuickTime\qttask.exe" -atboottime
O4 - HKLM\..\RunOnce: [WIAWizardMenu] RUNDLL32.EXE C:\WINDOWS\system32\sti_ci.dll,WiaCreateWizardMenu
O4 - HKCU\..\Run: [ctfmon.exe] C:\WINDOWS\system32\ctfmon.exe
O4 - HKUS\S-1-5-18\..\Run: [DWQueuedReporting] "C:\PROGRA~1\COMMON~1\MICROS~1\DW\dwtrig20.exe " -t (User 'SYSTEM')
O4 - HKUS\.DEFAULT\..\Run: [DWQueuedReporting] "C:\PROGRA~1\COMMON~1\MICROS~1\DW\dwtrig20.exe " -t (User 'Default user')
O9 - Extra button: (no name) - {08B0E5C0-4FCB-11CF-AAA5-00401C608501} - C:\Program Files\Java\jre1.6.0_03\bin\ssv.dll
O9 - Extra 'Tools' menuitem: Sun Java Console - {08B0E5C0-4FCB-11CF-AAA5-00401C608501} - C:\Program Files\Java\jre1.6.0_03\bin\ssv.dll
O9 - Extra button: AIM - {AC9E2541-2814-11d5-BC6D-00B0D0A1DE45} - C:\Program Files\AIM\aim.exe
O16 - DPF: {0B79F48A-E8D6-11DB-9283-E25056D89593} (F-Secure Online Scanner 3.1) - http://support.f-secure.com/ols/fscax.cab
O16 - DPF: {48DD0448-9209-4F81-9F6D-D83562940134} (MySpace Uploader Control) - http://lads.myspace.com/upload/MySpaceUploader1006.cab
O18 - Protocol: skype4com - {FFC8B962-9B40-4DFF-9458-1830C7DD7F5D} - C:\PROGRA~1\COMMON~1\Skype\SKYPE4~1.DLL
O23 - Service: Ati HotKey Poller - ATI Technologies Inc. - C:\WINDOWS\system32\Ati2evxx.exe
O23 - Service: ATI Smart - Unknown owner - C:\WINDOWS\system32\ati2sgag.exe
O23 - Service: AVG Anti-Spyware Guard - GRISOFT s.r.o. - C:\Program Files\Grisoft\AVG Anti-Spyware 7.5\guard.exe
O23 - Service: ##Id_String1.6844F930_1628_4223_B5CC_5BB94B879762# # (Bonjour Service) - Apple Computer, Inc. - C:\Program Files\Bonjour\mDNSResponder.exe
O23 - Service: Canon Camera Access Library 8 (CCALib8) - Canon Inc. - C:\Program Files\Canon\CAL\CALMAIN.exe
O23 - Service: Creative Service for CDROM Access - Creative Technology Ltd - C:\WINDOWS\system32\CTsvcCDA.EXE
O23 - Service: FLEXnet Licensing Service - Macrovision Europe Ltd. - C:\Program Files\Common Files\Macrovision Shared\FLEXnet Publisher\FNPLicensingService.exe
O23 - Service: NBService - Nero AG - C:\Program Files\Nero\Nero 7\Nero BackItUp\NBService.exe
O23 - Service: NMIndexingService - Nero AG - C:\Program Files\Common Files\Ahead\Lib\NMIndexingService.exe
O23 - Service: Pml Driver HPZ12 - HP - C:\WINDOWS\system32\HPZipm12.exe
O23 - Service: SoundMAX Agent Service (SoundMAX Agent Service (default)) - Analog Devices, Inc. - C:\Program Files\Analog Devices\SoundMAX\SMAgent.exe
--
End of file - 4614 bytes

Go here and run the FULL TEST. Post the results here.