Thanks for the troubleshooting suggestions, guys, and sorry I didn't revisit this thread sooner. The problem was the DAC in the NAD T754 receiver. It is supposed to handle 24/96, but for some reason it doesn't. I took the Touch to a friend's house and 24/96 worked fine sent to his DAC. I ended up keeping the Touch and at some point will upgrade the receiver. The Touch does sound a little cleaner than the SB3 it replaces, and my wife likes the display (clock). I'll stick to 24/48 files until I replace the NAD.
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