In iTerm2 (fullscreen mode) my pointer is permanently a "text select" pointer. It bothers me, so I would either like to change it (to the regular arrow-type pointer) or disable it when in my fullscreen iTerm2 instance. Is this possible? I'm on OSX 10.7.
The behavior is inconsistent between window mode and full screen mode, but this is not something that is configurable. You would probably have to submit a feature request to get this changed.
It's quite old, but...
Open finder (or mc or anything else) then go to /Applications/Iterm.app (press right mouse and choose "Show package content" if in Finder) Content/Resource/
IBarCursor.tiff and IBarCursorXMR.tiff are the cursor images. You can replace or delete them.