Moving a file into a newly created folder hangs on win8

Moving a file into a newly created folder hangs on win8

I have a simple bat file which does the following:
@echo off
mkdir folder1
mkdir folder2
echo.>file1
move file1 folder1\file1
When I run this on Windows 8 it will often hang the shell and explorer.
The commands look unix-y but thats because I have gitbash installed. I
believe the use of "mv" and "touch" doesn't matter (this is a simple
version of a larger program that is seeing the same bug and does the same
behavior of create folder, create file, move file into new folder using
native apis).
Anyone have an idea why this hangs on Windows 8? It doesn't on Windows 7.