This is totally edited post.

I installed VMWare toold 11.3, tested on both the host and the guest and both moved files from the Temp folder, which was great.

I installed Windows update version 19043.1081, and restarted, tried to copy data to the guest and they were copied not moved, which is bad, I tested copy files to the host and also were copied from the temp and not moved, not sure what happened but it is worse now.