I can confirm that the procedure of clicking and dragging an item within a folder with a Magic Mouse while simultaneously scrolling the folder with two fingers on the trackpad does not work on macOS 27.0.1 Golden Gate. The same procedure does work on my other Mac running macOS 26.7.1 Tahoe. Note that this procedure is not documented by Apple (at least, not anywhere that I can find), so it is impossible to say if this is a bug or intentional.
More info from Apple: Drag and drop items on Mac – Apple Support
Only Apple could change that behavior back to how it worked on Tahoe. To have Apple consider your feedback, submit it here:
Feedback - macOS - Apple
A couple of other points:
Use the Edge Autoscroll workaround
If you click an item within a folder and drag it to the top or bottom edge of that folder, the folder contents will scroll in that direction. This works with mouse or trackpad. For example, I clicked and dragged the App Store icon to the bottom edge of the Applications folder, and automatic scrolling down began:
Drag the item out of then back into the folder
The procedure described —clicking and dragging an item with a Magic Mouse while simultaneously scrolling the folder with two fingers on the trackpad— does work on macOS 27 when an item is dragged from outside a folder into that folder. For example, creating a folder on the Desktop, clicking with a Magic Mouse and dragging it into the Applications folder then using two fingers on the trackpad does scroll the folder. In the screenshot below, you can see the blue box outlining the original position of the folder contents before I started scrolling with two fingers. That procedure works with both the internal trackpad and an external Magic Trackpad. So, a workaround for you would be to drag the item to the desktop then drag it back into the folder and start two finger scrolling.
FYI, I am using a 16" M4 Pro MBP with a Magic Trackpad and Magic Mouse connected to test the above.
User level: Level 1 (63 points)
