can i improve my system with a better cd player?


I upgraded just about everything except my cd player. I just use my old sony dvp s7000 as my cd player. In the past I thought all cd player were the same until yesterday when I tried using my ps3 as the player. I instantly heard a big difference. Now I'm thinking I can actually improve my sound by buying a new player can someone recommend something under 500 buciks? I like buying used since my system is dated itself but it still sounds decent to me.
monterey
buy a good cd player at reasonable cost looking for best transport (like cambridge) and spend loot on good outboard dac
I don't think so. Your current player will act as a transport and send data to the external DAC for processing. So long as you use the analog outputs of whatever DAC you choose and the analog inputs of your Yamaha you'll be ok. The Yamaha's DAC will be bypassed. Also check to see if your Yamaha has a direct mode or something along those lines. I had some Pioneer and Onkyo receivers that have a button you can press so a lot of video/digital functions and even the display will be turned off and the only the analog sections are used.