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No, this isn't normal. You may reach 100 or so in slow traffic on a hot day with the AC on, but if it happens all the time you need a new visco clutch, it's not spinning the fan up at all.
The flickering coolant light can be two things -- bad sensor (check for coolant on it outside the tank) or a bad radiator cap that won't hold pressure. This means the coolant is boiling and the bubbles cause the sensor too come on, it's just a float.
Get a new visco clutch, new radiator cap, and flush the cooling system and install fresh MB or Xerex G-05 coolant (ONLY, do NOT use the green stuff, it eats radiators on these cars).
If the above doesn't fix things, take is somewhere and have it pressure tested. A slow leak at the water pump will do the same thing, as the coolant won't pressurize.
If it holds pressure and the water pump is OK, likely the radiator is clogging.
Peter
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1972 220D ?? miles
1988 300E 200,012
1987 300D Turbo killed 9/25/07, 275,000 miles
1985 Volvo 740 GLE Turobodiesel 218,000
1972 280 SE 4.5 165, 000 - It runs!
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