Really, REALLY weird stresses in a study

Hi all,

I'm running a study on a shaft and crank, connected by a sunk key. Here is how the model is fixed and the load is applied. All connections are set to "no penetration". There are no parts colliding.

After running the simulation, this is the displacement of the key, on true scale. Weird, I would think it would rotate more because of the modeled clearance.

Automatic scale displacement shows the key is indeed rotating as is expected:

BUT stress plots shows maximum stress in a place on the shaft that isn't even touching the key.

I'm a teacher in Mechanical Engineering and know quite a bit about Solidworks, and I have colleagues who know Simulation better, but we are all flabbergasted by this result. I would be really thankful if someone can come up with a good explanation for this.

I have attached the complete model to this post.

Thanks, Daan

SolidworksSimulation