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Sometimes it seems to be OK, but other times not as much. There are so many posts I've put up because I know they'll help people here and elsewhere...
The needle's probably a little large for that thread, but it shouldn't be causing issues with the tension.
fuzzy disks can cause upper thread to be looser than you expect. A 99k should have a numbered dial. Assuming that the tensioner is correctly assembled, if it's set to about 4, I would think tension should be reasonable.
I'll putter around on my blog and send you a PM with some links then. Hopefully, they can give you a few hints.