Hi, I agree, the DTC codes don't sound like they have anything to do with the engine issue. Along with testing the O2 sensor, I recommend you test the MAF sensor as well. I'm not familiar with the unit on pre-1995 960's so I can't help much there but I do know some folks have disconnected the connector on the MAF sensor (causing the ECM to use a default value instead of actual data from the MAF sensor), and they were able to tell if the engine idled better with it connected or disconnected.
It really does sound as if the engine is getting too much air, hence my suggestion to check for all vacuum leaks, O2 & MAF Sensor operation.
Wishing you success, DEWFPO
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1998 S90 083,228 and 1995 964 154,100
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