I have tested the behavior on my side on a test Sitefinity 7.1 project and have configured the Archive widget following your steps. You may also take a look at the following article
for more details about the Archive widget.
I have recorded a short video
demonstrating the steps I took and the behavior on my side. Can you please let me know where the issue occurs on your side? Can you please also make sure that you have configured the news widget list template to display the summary or the full content of the news items.
Do you want to have your say in the Sitefinity development roadmap? Do you want to know when a feature you requested is added or when a bug fixed? Explore the Telerik Sitefinity CMS Ideas&Feedback Portal
and vote to affect the priority of the items