I meant in the first exec.

Don't know the exact explanation, but it is like it is executed in a diferent context or connection.

If you create a #temp table with EXEC (EXEC ('CREATE #TABLE...')) you won't see it in the actual connection, the same if you declare variables

EXEC ('DECLARE @test-2 AS INT SELECT @test-2 = 1')

PRINT @test-2

this will fail,

EXEC ('DECLARE @test-2 AS INT SELECT @test-2 = 1 PRINT @test-2')

This won't.