diff --git a/packages/react-reconciler/src/ReactFiberHooks.js b/packages/react-reconciler/src/ReactFiberHooks.js
index 83b9d10fbf91d..ca02af3393102 100644
--- a/packages/react-reconciler/src/ReactFiberHooks.js
+++ b/packages/react-reconciler/src/ReactFiberHooks.js
@@ -770,6 +770,12 @@ export function replaySuspendedComponentWithHooks<Props, SecondArg>(
     ignorePreviousDependencies =
       current !== null && current.type !== workInProgress.type;
   }
+  // renderWithHooks only resets the updateQueue but does not clear it, since
+  // it needs to work for both this case (suspense replay) as well as for double
+  // renders in dev and setState-in-render. However, for the suspense replay case
+  // we need to reset the updateQueue to correctly handle unmount effects, so we
+  // clear the queue here
+  workInProgress.updateQueue = null;
   const children = renderWithHooksAgain(
     workInProgress,
     Component,
@@ -828,7 +834,9 @@ function renderWithHooksAgain<Props, SecondArg>(
     currentHook = null;
     workInProgressHook = null;
 
-    workInProgress.updateQueue = null;
+    if (workInProgress.updateQueue != null) {
+      resetFunctionComponentUpdateQueue((workInProgress.updateQueue: any));
+    }
 
     if (__DEV__) {
       // Also validate hook order for cascading updates.
@@ -1101,6 +1109,22 @@ if (enableUseMemoCacheHook) {
   };
 }
 
+function resetFunctionComponentUpdateQueue(
+  updateQueue: FunctionComponentUpdateQueue,
+): void {
+  updateQueue.lastEffect = null;
+  updateQueue.events = null;
+  updateQueue.stores = null;
+  if (enableUseMemoCacheHook) {
+    if (updateQueue.memoCache != null) {
+      // NOTE: this function intentionally does not reset memoCache data. We reuse updateQueue for the memo
+      // cache to avoid increasing the size of fibers that don't need a cache, but we don't want to reset
+      // the cache when other properties are reset.
+      updateQueue.memoCache.index = 0;
+    }
+  }
+}
+
 function useThenable<T>(thenable: Thenable<T>): T {
   // Track the position of the thenable within this fiber.
   const index = thenableIndexCounter;
@@ -2496,17 +2520,15 @@ function pushEffect(
   if (componentUpdateQueue === null) {
     componentUpdateQueue = createFunctionComponentUpdateQueue();
     currentlyRenderingFiber.updateQueue = (componentUpdateQueue: any);
+  }
+  const lastEffect = componentUpdateQueue.lastEffect;
+  if (lastEffect === null) {
     componentUpdateQueue.lastEffect = effect.next = effect;
   } else {
-    const lastEffect = componentUpdateQueue.lastEffect;
-    if (lastEffect === null) {
-      componentUpdateQueue.lastEffect = effect.next = effect;
-    } else {
-      const firstEffect = lastEffect.next;
-      lastEffect.next = effect;
-      effect.next = firstEffect;
-      componentUpdateQueue.lastEffect = effect;
-    }
+    const firstEffect = lastEffect.next;
+    lastEffect.next = effect;
+    effect.next = firstEffect;
+    componentUpdateQueue.lastEffect = effect;
   }
   return effect;
 }
diff --git a/packages/react-reconciler/src/__tests__/useMemoCache-test.js b/packages/react-reconciler/src/__tests__/useMemoCache-test.js
index 8a1bd5dcdf644..d5008fbae6c06 100644
--- a/packages/react-reconciler/src/__tests__/useMemoCache-test.js
+++ b/packages/react-reconciler/src/__tests__/useMemoCache-test.js
@@ -16,7 +16,6 @@ let assertLog;
 let useMemo;
 let useState;
 let useMemoCache;
-let waitForThrow;
 let MemoCacheSentinel;
 let ErrorBoundary;
 
@@ -32,7 +31,6 @@ describe('useMemoCache()', () => {
     useMemo = React.useMemo;
     useMemoCache = require('react/compiler-runtime').c;
     useState = React.useState;
-    waitForThrow = require('internal-test-utils').waitForThrow;
     MemoCacheSentinel = Symbol.for('react.memo_cache_sentinel');
 
     class _ErrorBoundary extends React.Component {
@@ -667,7 +665,7 @@ describe('useMemoCache()', () => {
     }
 
     // Baseline / source code
-    function useUserMemo(value) {
+    function useManualMemo(value) {
       return useMemo(() => [value], [value]);
     }
 
@@ -683,24 +681,22 @@ describe('useMemoCache()', () => {
     }
 
     /**
-     * Test case: note that the initial render never completes
+     * Test with useMemoCache
      */
     let root = ReactNoop.createRoot();
-    const IncorrectInfiniteComponent = makeComponent(useCompilerMemo);
-    root.render(<IncorrectInfiniteComponent value={2} />);
-    await waitForThrow(
-      'Too many re-renders. React limits the number of renders to prevent ' +
-        'an infinite loop.',
-    );
+    const CompilerMemoComponent = makeComponent(useCompilerMemo);
+    await act(() => {
+      root.render(<CompilerMemoComponent value={2} />);
+    });
+    expect(root).toMatchRenderedOutput(<div>2</div>);
 
     /**
-     * Baseline test: initial render is expected to complete after a retry
-     * (triggered by the setState)
+     * Test with useMemo
      */
     root = ReactNoop.createRoot();
-    const CorrectComponent = makeComponent(useUserMemo);
+    const HookMemoComponent = makeComponent(useManualMemo);
     await act(() => {
-      root.render(<CorrectComponent value={2} />);
+      root.render(<HookMemoComponent value={2} />);
     });
     expect(root).toMatchRenderedOutput(<div>2</div>);
   });