You’re experiencing the exact same bug/behaviour as we are. I have not found a solution, but maybe a workaround that can be used in some cases: When recording a sequence, it records the sequence itself and also an animation sequence in the /Animations folder. This animation seems to be correct, and can be dragged out onto a new sequence to be played back.
To me, it appears as both the capsule and the character gets animated, and when played back the character is offset from the capsule. It does not explain why the capsule is recorded with the wrong axis or that the keyframes are offset, so I believe this has to be answered by the @Unreal animation team.