When you start typing, the dropdown appears and then you leave the AutoCompleteBox without clicking, the cursor is not changing back to arrow.
As a workaround of the issue you could manually release the mouse capture in the Populated event handler of the control as shown below:
private void AutoCompleteBox_Populated(object sender, System.EventArgs e)
{
if (Mouse.Captured is RadAutoCompleteBox)
{
(sender as RadAutoCompleteBox).ReleaseMouseCapture();
}
}