I have a 32 inch Dynex HDTV and my dvd player was working fine now all the sudden when I watch a dvd it has fuzzy lines and rainbow colors. But it doesnt start messing up until i actually leave the menu and play the movie. This didnt start until hooked up the sound from my tv to my stereo.
So unhook the TV from the stereo and see if the problem goes away! If it does, you know that is the problem; then repost in the sound forums for connecting the TV and stereo and someone there might be able to help.