This isn’t a WP problem. It’s normally a plugin, theme or memory issue. Have you tried:
– deactivating all plugins to see if this resolves the problem? If this works, re-activate the plugins one by one until you find the problematic plugin(s).
– switching to the default theme to rule out any theme-specific problems?
– resetting the plugins folder by FTP or phpMyAdmin? Sometimes, an apparently inactive plugin can still cause problems.
– re-uploading the wp-admin and wp-includes folders from a fresh download of WordPress?
– increasing the available memory?
http://wordpress.org/extend/plugins/memory-bump/
http://wordpress.org/support/topic/253495#post-1017842
– reviewing http://wordpress.org/support/topic/411649
I was able to overcome the cursor problem by changing the Screen Layout in Screen Options from two columns to one. I’m using version 2.9.2.
