ABS sensor rubbing after replacing CV shaft

Hi
I just replaced the CV shaft on the front of my GC and i started getting a clunking noise. IT seemed to be about one clunk every revolution of the tire. after removing the abs speed sensor i seen it had rub marks on it. so i kept it off and hung it up out of the way. now the clunking stopped. but my abs light is on now and i have no idea how to fix it other than start grinding down the sensor. but i do not want to ruin it. what would cause this.