DSD is the format in which SACDs are recorded.
Done some more digging and it seems the PS3 only does LPCM from SACD, so the standard LPCM settings will be fine. And I can tell you from using the the Oppo that LPCM quality is very close indeed to streaming the DSD to the 875.
You can tell I'm not a 'gamer', can't you...?
Consulting Editor, What Hi-Fi? Sound and Vision / whathifi.com
Audio Editor, Gramophone