Instant Replay has been broken most of 2020, so you pretty much have to use direct recording only, or OBS.
Record Desktop has been known to constantly record your desktop when you are not doing anything, so you pretty much need to disable it.
The hourglass mouse cursor thing is a windows indicator of loading. What usually is happening here, is AMD's control panel is crashing itself and restarting non-stop in the background, because IR and RD are broken. This will massively reduce system performance, because the control panel is crashing and restarting in the background constantly.
To see the control panel crashing, load up a process manager like process hacker, and simply watch AMDRSServ.exe "turn red" which is crashing out, and restarting itself. There is currently no fix for this other than disabling the features causing the crashing, and switching to alternative video software like OBS.
AFAIK, even though this has been going on for the vast majority of 2020, AMD is not officially acknowledging it or making it a priority, much like the black screen issues, which only got acknowledged because the tech review press FORCED them to admit there was a problem.