After killing zombies with my steak knife (using heavy and light attacks), I started bleeding and was unable to take the knife from my hands to bandage. I tried using the hot bar to put away knife, dragging items to swap, tried dropping, throwing, etc but nothing worked to get the steak knife out of my hands. It was in pristine condition still. Other items moved around my inventory fine and I was able to interact with the world just fine. A simple relog fixed the issue and It was already back in my inventory when I logged in. No issues after that.