* Sector faces challenging outlook in weak economy
(Adds CEO's comment from news conference):
SINGAPORE (Reuters) - DBS Group Holdings Ltd (DBSM.SI) beat market estimates with a 17% jump in second-quarter net profit as Southeast Asia’s biggest lender benefited from rising interest rates, although a subsequent reversal in rate moves has clouded its outlook. Higher interest rates in Singapore and Hong Kong during the second quarter lifted DBS’s net interest income to a record S$2.43 billion ($1.77 billion). DBS, the first among three Singaporean banks to report results, maintained its mid-single-digit percentage loan growth forecast for the full year.