Here we go again. The ABS/TRACs module on the 1998 models are highly subject to failure. To repair can cost $125 from someone posting by the name of Vitor who fixes the defective part to $600 dealer installed. Before you do anything else, have a qualified Volvo tech check it out as he'll have to cross reference codes to ascertain that it isn't something else (like a bad sensor).

In Europe, these are often fixed at dealer expense as ABS is considered safety equipment there; the USDOT and the Insurance Institute here in the US have decided that ABS is NOT safety equipment as statistically it has does nothing to reduce one-car accident figures, the most common kind.
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David
1998 S70 T5SE // misc mods (mostly lighting) // red calipers // Michelin Pilots
1992 940 GLE//SilverStars//Hella MicroDE