It's a cap over the axle nut, I've taken mine off a few times now to track down a rattle (the cotter pin/castle nut on the axle nut), and to repaint the caps. I used a few flathead screwdrivers, flat chisel punches, and a hammer, and worked around the cap until it finally separates a bit, then move to a thicker flat edge till it pops off. Jack up the front tires so you can spin them and evenly work the cap off from all angles till it pops.
I bet your noise is the same thing mine was! I removed the cotter pin, and castle nut, put some thick grease on the bottom of the castle nut, and put it back together with the cotter pin bent tighter. Problem solved.