According to a just-published NPD Group MusicWatch report for the first quarter of 2007, covering the sales of both physical and downloadable music, Apple’s iTunes has jumped in rank to become the third-largest retailer of music in the United States. iTunes now holds a 9.8% share of music purchases, ahead of fourth-place Amazon.com at 6.7% and third-place Target at 6.6%. Walmart remains the nation’s largest music retailer, with Best Buy…