Seems the problem is with one file only (so far). In any other file I can drag to select (see A in picture) , but in this one I receive the "No Way" cursor (see B in picture) as soon as I drag. restarting CATIA won't do anything. I compared App setting and they looks the same as the one for which the selection is working.
If I continue to drag over geometry I have "Drop operation failed" message but I have nothing selected. Status bar shows "Select an object or a command"

Thanks

Eric