My '03 LT did the same thing. There is a service bulletin out about the issue. Mine has been quiet since I had the dealer fix it.
Snap/Popping Type Noise Coming from Front of Vehicle (Remove Front Crossmember and Slot Mounting Holes)
2003-2004 Cadillac Escalade
2003-2004 Chevrolet Avalanche, Suburban, Tahoe
2003-2004 GMC Yukon, Yukon XL
All 1500 Series (½ Ton) with Two-Wheel Drive
Condition
Some customers may comment about a snap or popping-type noise coming from the front of the vehicle. This condition is most apparent during hard left or right turns at low speeds. Going over bumps while turning may also aid in producing this noise.
Correction
Slot the left side mounting holes on the front crossmember using the procedure listed below.
Raise and support the vehicle. Refer to Lifting and Jacking the Vehicle in the General Information sub-section of the service manual.
Remove the mounting nuts, bolts and front crossmember from the vehicle.
Clean all the undercoating off the crossmember in the area of the left side mounting holes.
Notice
Use a die grinder or file to cut slots. DO NOT use a torch. Using a torch may compromise the structural integrity of the vehicle.
Enlarge the mounting holes on the left side of the crossmember into slots. Cut the slots to the inboard side (toward center of crossmember) of the holes, 2 mm (0.07874 in).
Apply Thread Sealer, P/N 12346004 (Canadian P/N 10953480) to the bolt threads.
Reinstall the crossmember with the bolts and nuts. Tighten
Tighten the bolts to 120 N·m(89 lb ft).
Apply a spray-on black, rubberized undercoating to the crossmember where removed. Overlap the original coating in order to provide an effective corrosion protection.
Warranty Information
For vehicles repaired under warranty, use:
Labor Operation
Description
Labor Time
A9976*
Pop/Noise, Frame Rail - Repair
0.5 hr