As you move the mouse on the screen, the cursor shape changes to reflect the kind and status of the object immediately underneath. If the currently selected tool in the Tool Strip is a creation tool then the cursor is always a CROSS. If you have selected an Arrow cursor then the cursor shape is always an Arrow cursor. On the other hand if you have selected an IBEAM tool then the cursor shape is always Arrow cursor except on top of the handles of a selected objects, where the cursor becomes an arrow indicating the direction of resize.