Mouse input lag causes line rendering jitter

I have

1. a 2D sprite that moves with a rigidbody2d,

2. mouse input that provides a location in world space,

3. a line renderer that draws a line between the sprite and mouse point.

When my sprite moves, the line jitters badly. I've attached a gif.

https://giphy.com/gifs/l3q2xdNZjKrlRlYu4

This is the simplest project that reproduces this error. Code sample below:

 void Update() {
     var moveInput = new Vector2(Input.GetAxisRaw("Horizontal"), Input.GetAxisRaw("Vertical"));

     var rawMousePosition = Camera.main.ScreenToWorldPoint(Input.mousePosition);
     lookPosition = new Vector3(rawMousePosition.x, rawMousePosition.y, 0);

     lineRenderer.SetPosition(0, transform.position);
     lineRenderer.SetPosition(1, lookPosition);
 }

 void FixedUpdate() {
     rigidBody2d.velocity = moveInput.normalized * moveSpeed;
 }

Moving the sprite directly using it's transform, the line doesn't jitter, but the line still noticeably lags behind the mouse point.

https://giphy.com/gifs/l3q2Qwi29hWeSkG5y

 void Update() {
     var moveInput = new Vector2(Input.GetAxisRaw("Horizontal"), Input.GetAxisRaw("Vertical"));
     transform.Translate(moveInput * moveSpeed * Time.deltaTime);

     var rawMousePosition = Camera.main.ScreenToWorldPoint(Input.mousePosition);
     lookPosition = new Vector3(rawMousePosition.x, rawMousePosition.y, 0);

     lineRenderer.SetPosition(0, transform.position);
     lineRenderer.SetPosition(1, lookPosition);
 }

I can accept the line lagging behind the mouse point in the 2nd scenario; my question is how do I prevent the jitter in the 1st scenario, given that I'm moving rigidbodies in my 2D project?