Sounds like a bad axle seal. You'll have to remove the axle to replace it.
Axle shaft seal.Axle shaft seal.
Axle shaft, steering shaft, drive shaft, distributor shaft
Axle
The axle shaft is retained from the inside with a horseshoe looking clip.The axle shaft is retained from the inside with a horseshoe looking clip.
The most common leak points are the cooler hoses and the axle shaft seals.
To remove the axle shaft, first remove the wheel, and brake drum/rotor. Second, remove the differental cover. Third, remove the bolt holding the spider gear shaft, and remove that shaft. Fourth push inward on the axle shaft to remove the horseshoe clip on the inside. The axle shaft will now pull out.
The 1998 GMC Jimmy front axle shaft torque specification is 60 pounds. You want to make sure that you do not over torque the axle shaft, as you can ruin the axle bearing.
Something has happened there. If it isn't in all the way it can do that.
Yes
Only if the rear axle is a drive axle.
Check for: low trans fluid parking brake engaged broken or dislodged axle shaft transmission problem