So I discovered this bug.
My system includes 2 monitors, the only 2 differences these monitors have are the refresh rates which should not make any difference.
In my case my main monitor set on Windows has identity 2 and my second monitor identity 1. I can't change that.
Fences in this case, when it's enabled and a new icon is created seems to use identities for new icons.
So when I am saving a file to my desktop, it creates the icon for it on the secondary monitor , on the very left edge of the screen, and you can kinda see the icon hopping to the main screen too
Screenshot included.
When I turn off fences though, and I try to save a file on my Desktop, it saves to my main monitor, as normal.
So to my understanding, Fences uses the Identity that is set instead of the default main monitor set on windows for saving icons.
If you need me to test anything more, feel free to tell me.