Hi, I think I'm able to isolate the issue.
The issue is only happening with integrated AMD GPU.
I have Lenovo legion 5 pro with AMD CPU and nvidia GPU with a MUX switch.
The cursor problem disappears completely when I switch the GPU to Nvidia.
My, system details:
Operating System: Microsoft Windows 11 Professional (x64) 22H2 Build 22621.900
CPU: AMD Ryzen 7 5800H
iGPU: AMD Radeon Vega
iGPU DRIVER DETAILS:
Driver Manufacturer: Advanced Micro Devices, Inc.
Driver Description: AMD Radeon(TM) Graphics
Driver Provider: Advanced Micro Devices, Inc.
Driver Version: 30.0.14052.9003
AMD Driver Package Version: 21.40.52.09-220721a-381698C-Lenovo
AMD Software Driver Version: 21.40.52.09
Driver Date: 21-Jul-2022
DCH/UWD Driver: Capable
DeviceInstanceId PCI\VEN_1002&DEV_1638&SUBSYS_3A4F17AA&REV_C5\4&1185D5E4&0&0041
Location Paths PCIROOT(0)#PCI(0801)#PCI(0000)