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The auto setting has probably kicked the CPU voltage up quite a lot, so that's what's causing the temp increase. Don't worry about the temperature. If the CPU gets too hot it will simply throttle, it won't burn up.
Try setting VCore to 1.45v, the FSB to 266MHz, and the memory speed as low as it will go. That should get you 2.4GHz (never seen an E2160 that won't do that easy). If the system is stable, try kicking the FSB up to 333MHz.