Anyone else with an S60(T5) ever hear a knocking noise when accelerating from idle? It sounds like when you knock on a wooden table or door! And I can actually feel it when it happens! The dealership said it is 95% in the suspension( they have heard of problems with a suspension componet becoming loose and banging against surrounding objects during acceleration and causing that knocking noise! Just wondering if anyone else had ever had or heard this noise before!

Is the upper torque mount new?

This just started happening to me. It really sounds like a lifter noise but it only occurs around a certain RPM range and while im on the throttle lightly. If I take off quick, it sounds normal.
Let me know what you find out.

There seems to be a design flaw in the suspension -- when the dealer replaced mine (don't remember what part it was) he said that it was pretty common. Yeah, it was noisy, although mine was in the rear so I didn't get all the same symptoms as you, but the knocking and banging sound like the same problem to my untrained ear.

Okay guyz it appears that the problem is fixed! I went to the dealer and told them the same thing i told you guyz! They ended up replacing the suspension bushings and the noise is gone now!

Well guys it sounds like you got lucky. My noise started to get worse, and when I started coming to stops and the engine would return to idle, my oil pressure light would flicker intermittently signifying that there were spurts where it wasn't getting enough oil pressure. As I got about 2 miles from my home, you could tell the engine was starting to work harder than it should have. I parked the car immediately and I am waiting until this weekend when the dealer will have room for me to tow it in. I purchased a third party warranty when I purchased this 2001 s60 t5 from a used dealer last september.
I am hoping I don't have a battle with them to get the necessary work done.

Most likely oil pan o-rings.