Cursor gets stuck to transformation handles

Still happening with version 24.1.1.

And, of course, this got moved (yet again) to the "Discussion" section instead of being left as a bug, lmao.

It works as expected when "Show Transform Handles" is turned off, but I prefer to have them always shown to avoid having to do CTRL+T each time.

That entry is not present.

With Photoshop launched, go to Help > System Info..., then scroll down a bit.  Is this entry present?

PSUserConfig Entries:
- K uSty UseSystemStylus 0

I also notice you have "Show Transform Handles" enabled on the Options bar. Make sure that is unchecked.

Does it behave as expected with that unchecked?

I'm not seeing any other reports of this with 24.1 so it seems likely a system specific conflict of some sort. Are you using a pen/tablet for input? It may help if we could see your Photoshop System Info. Launch Photoshop, and select Help >System Info...and copy/paste the text in a reply.

When working with smart objects, the cursor will get stuck to the transformation handles.

Notice in the recording how I'm not holding down any mouse buttons to manipulate the image, yet it behaves like I am. The bug disappears after rasterizing the image, and comes back after converting it back to a smart object. So far, I've experienced this only when working with smart objects.

It doesn't happen every single time, but often enough to become very irritating.

Screen recording: https://files.catbox.moe/nh327e.mp4

Some other notes:

- Using CTRL+T to enter transformation mode doesn't trigger the bug. 

- I'm using PS version 24.1.0 on Windows 10 Pro (22H2).

- Here's a reference to an old, yet very similar bug that occurred in a past version of PS that was apparently resolved. Maybe it'll be useful in fixing this one.

https://community.adobe.com/t5/photoshop-ecosystem-bugs/p-cursor-gets-stuck-on-transform-handle-in-photoshop-22-5-1-windows-only/idi-p/12343584