Hi,
I am not certain what you mean when you say you cannot run HJT in normal mode. The log you posted looks to be in normal mode to me.
The first thing I notice, other than the host files of course, is that you are running two, or portions of two anti-virus programs, Norton and AVG. This is an absolute No-No.
These running processes indicate Norton Anti-virus'
C:\Program Files\Common Files\Symantec Shared\ccSvcHst.exe
C:\Program Files\Symantec\LiveUpdate\ALUSchedulerSvc.exe
C:\Program Files\Common Files\Symantec Shared\ccSvcHst.exe
C:\Program Files\Common Files\Symantec Shared\CCPD-LC\symlcsvc.exe
O23 - Service: Symantec Event Manager (ccEvtMgr) - Unknown owner - C:\Program Files\Common Files\Symantec Shared\ccSvcHst.exe" /h ccCommon (file missing)
O23 - Service: Symantec Settings Manager (ccSetMgr) - Unknown owner - C:\Program Files\Common Files\Symantec Shared\ccSvcHst.exe" /h ccCommon (file missing)
O23 - Service: COM Host (comHost) - Symantec Corporation - C:\Program Files\Common Files\Symantec Shared\VAScanner\comHost.exe
O23 - Service: LiveUpdate - Symantec Corporation - C:\PROGRA~1\Symantec\LIVEUP~1\LUCOMS~1.EXE
O23 - Service: Symantec Core LC - Symantec Corporation - C:\Program Files\Common Files\Symantec Shared\CCPD-LC\symlcsvc.exe

You need to go to Add/Remove and Uninstall everything listed as Norton and Symantec.
You may need to reboot if prompted.
Once that is complete then do a file search by going to Start, Search, Files and Folders, "C" drive and first search for files named Symantec. If any are found delete them. Next do the same for files named Norton, if any are found, delete them.
Once you have removed the extra anti-virus program
Download SDFix and save it to your Desktop.

Double click SDFix.exe and it will extract the files to %systemdrive%
(Drive that contains the Windows Directory, typically C:\SDFix)

Please then reboot your computer in Safe Mode by doing the following :
  • Restart your computer
  • After hearing your computer beep once during startup, but before the Windows icon appears, tap the F8 key continually;
  • Instead of Windows loading as normal, the Advanced Options Menu should appear;
  • Select the first option, to run Windows in Safe Mode, then press Enter.
  • Choose your usual account.
Open the extracted SDFix folder and double click RunThis.bat to start the script.[*] Type Y to begin the cleanup process.[*] It will remove any Trojan Services and Registry Entries that it finds then prompt you to press any key to Reboot.[*] Press any Key and it will restart the PC.[*] When the PC restarts the Fixtool will run again and complete the removal process then display Finished, press any key to end the script and load your desktop icons.[*] Once the desktop icons load the SDFix report will open on screen and also save into the SDFix folder as Report.txt
(Report.txt will also be copied to Clipboard ready for posting back on the forum).[*] Finally paste the contents of the Report.txt back on the forum with a new HijackThis log