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Thanks for the information provided to the Illustrator team.
We are able to reproduce this issue at our end and the engineering team is currently isolating this issue further to get to the root cause.
With Best Regards,
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Can confirm, on windows 10 in both photoshop and illustrator 2018...
1. select hand tool and pan workspace to confirm that panning works - it does
2. tap 'v' on keyboard to reset to pointer tool
3. tap and hold 'spacebar' on keyboard - pointer tool cursor changes to hand tool cursor
4. while holding 'spacebar' tap and drag on trackpad, nothing happens