Snapped wire to tire

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I've had an abs light come on sporadically in the past few weeks so I thought I would take a look in the area, found this wire that runs to the back of the wheel (front passenger) has snapped. Does anyone know what this wire is and where it runs to exactly. I'm guessing a it's for some sort of sensor maybe wheel speed? And could that be causing my abs light to come on? I've also had a squeaking sound every now and then when I turn the wheel from that same wheel. Thanks for any help.
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Squeaking on that wheel could be a wheel bearing issue which could set an abs light off, depending on the car, setup.

Get it checked out
 
But first thing repair that wire. They don't put wires on cars for nothing.
 
Thanks for the reply, I did jack the car up to check if it's wheel bearings, there wasn't any play in the wheel but I've got it booked in on Wednesday so I will see what they say.
 
But first thing repair that wire. They don't put wires on cars for nothing.
They do. One wire on one brake pad out of 4 is not a reliable warning system. What if one of the other 3 pads wear down to the metal first?
 
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More often than not you don't detect any play in wheel bearings - but they don't half drone when they are worn! Steering the car along loads and unloads the bearing and sometimes the noise comes and goes.
The squeak is likely just to be a build up of brake dust.
Even DIY scanners can look at ABS faults these days, for around the £200 mark so there shouldn't be any issues with diagnosis.
Towards the end of the driveshaft you may find a toothed 'reluctor wheel' which may need a clean too.
John :)
 
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