Hmmmmm it did it again this morning when my wife started to leave for work, i told her to shut the car off and turn it back on and it stopped doing it.

 

This might sound obvious but, have you checked the break pads? I was thinking that could account for grinding and the loss of break power. The ABS, Trac, ect. problem could be unrelated. Otherwise if you have plenty of pad I would do the other things I mentioned and then try to diagnose if it is a wheel bearing or not.

 

I also had some incidents of "break slipping," usually pulling into parking spots or slowing at turns. Since you also have break involvement, and f your pads are fine, you may be having a problem with your ABS control unit like me, or a short in the wiring harness.
I'm not a pro, but just recommending you check this out (before spending a bundle on other stuff like me) based on my experience, and because freaky break s* is scary.

 

I am going to check it out today, I wouldn't even know where to start looking for the short if there is one, for now I am going to check the connections and check for play in the hubs,

 

Got it up on jacks today and there is play in both front wheels/hubs, I grabbed the tire at the top and bottom and wiggled it and it was loose. I would say that the top of the tire would work back and forth about 3/32 of an inch, is there a certain amount that it CAN move that is with in safe standards or do I need to change my hubs? could this be the cause of my problems of the "service traction/trac off/ ABS" light coming on sporadically?
I am going to repost a new thread about this.