Steps to reproduce

Follow example 7 here: https://docs.microsoft.com/en-us/powershell/module/microsoft.powershell.management/new-item?view=powershell-7powershell!

1. Create a folder eg. named "power"
2. In this (power) folder create an empty folder named "Notice"
3. In this (power) folder create a file named "Notice.txt"
4. As admin run this script:
   New-Item -ItemType Junction -Path .\link.txt -Target .\Notice.txt
   New-Item -ItemType Junction -Path .\link -Target .\Notice -Force

Expected behavior

Create two functioning links for both a file and a folder

Actual behavior

PS C:\retus\test2Die\power problems> .\test.ps1
New-Item: C:\retus\test2Die\power problems\test.ps1:1
Line |
1 | New-Item -ItemType Junction -Path .\link.txt -Target .\Notice.txt
|
| Could not find item .\Notice.txt.

New-Item: C:\retus\test2Die\power problems\test.ps1:3
Line |
3 | New-Item -ItemType Junction -Path .\link -Target .\Notice -Force
|
| Could not find item .\Notice.
#NOTE

Works with absolute path

Environment data

PS C:\retus\test2Die\power problems> $psversiontable

Name Value

PSVersion 7.1.0-preview.3
PSEdition Core
GitCommitId 7.1.0-preview.3
OS Microsoft Windows 10.0.18362
Platform Win32NT
PSCompatibleVersions {1.0, 2.0, 3.0, 4.0…}
PSRemotingProtocolVersion 2.3
SerializationVersion 1.1.0.1
WSManStackVersion 3.0