You've inherited a handsome steam engine. One of Lionel's best of the PW era.
Though it's been several years since I've disassembled a 2055/2065-type of Lionel engine, I do recall they're not that hard to disassemble.
What do you plan to do with your inherited gem?
Andre
Isn't that one of the (many) great things about stuff built back then? Ease of trouble-shooting, repair and re-assembly?
Case in point (which has nothing to do with trains):
I've got an old Stromberg-Carlson rotary dial phone I use for my land line; (got tired of having to go back to Staples every few years to replace my "modern" phones due to failure.) Anyway, it sits close to where I am as I type this, and the bell ringer is very loud. It was really easy to take it apart, dampen the bell with a piece of soft foam and then put it back together again. I guess back in the day, "repair not replace" was the norm.
So yes, you should be able to track down the source of that "squeak" with little effort.
Mark in Oregon