I discovered a similar problem with my 94 850 - when I bought it last year I found the hose mentioned above had been cracked or cut on purpose. I replaced the flame trap myself (thus discovering the broken hose). When I worked on the flame trap I broke the hose further by moving it (now broken in 2 pieces), and now I get smoke or exhaust coming out from under the hood when idling. What should I do - replace the hose or check the oil trap/separator that is below the manifold? That is probably over my head and I'll have to take it to a garage.

Thanks for any help understanding this mysterious area of my car :)

-Tina