The cap screws coming loose on the end of the axle was enough of a problem that the design was changed to eliminate them. Replacement axles used a snap ring to hold the gear in place.
LockTite will hold fine even submerged in oil but it is important to remove all the oil before applying it. It sets up in the absence of air and once set the oil will have no affect on it.
I would use new cap screws when I put it back together. It is possible that the reason the old ones came loose is because they have been stretched. New ones are just cheap insurance against a repeat.
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Today's Featured Article - Tractor Profile: Farmall M - by Staff. H so that mountable implements were interchaneable. The Farmall M was most popular with large-acreage row-crop farmers. It was powered by either a high-compression gas engine or a distillate version with lower compression. Options included the Lift-All hydraulic system, a belt pulley, PTO, rubber tires, starter, lights and a swinging drawbar. It could be ordered in the high-crop, wide-front or tricycle configurations. The high-crop version was called a Model MV.
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