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The reason the fluid is a milky color is that water is getting into the transmission. How you ask??? Well the cooling lines go into the radiator to cool the fluid. It is at that spot it is picking up water as the cooler inside the radiator has a leak. the best solution would be to change the radiator. You could block the fitting ports for the lines at the radiator and put an external cooler on it. YOU MUST thoroughly flush the transmission and change the fluid and filter.

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Q: 2000 Pontiac grand prix and the transmission oil is milky in color and the oil level continues to increased and the transmission slips?
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