The noise is most probably caused by the main drum bearings that support the drum, when these wear it is usually followed by a water leak as the water gets past the seal, if the seal holds up, then the front of the drum no longer remains concentric with the outer drum and the inner drum is probably touching the front door rubber seal causing the rubber smell.
The smell may also be caused by the belt slipping through being worn, or water getting on it.
GettinBetter
October 2013