I'm using Photoshop CC 2017. The problem is with the lasso tool unless I use the option key for straight lines; also the eraser tool -- it will only erase with clicking, will not travel with pen (Wacom). Brush also. Keyboard shortcuts will not work. Then, voila all is back.
Just a hunch (based on lots of other user reports), but have you tried disconnecting and disabling your Wacom? I've a very strong suspicion that Photoshop will return to normal behavior once you do. Not a solution, but a quick way to isolate the problem.
I believe that the fault is in the how the tablet is interpreting keystrokes and mouse events, but the manufacturer will have to tell you definitively and come up with a solution. Once you verified the problem is on their end, you should contact them directly.
Opened PS this morning with the same problems as mentioned. Disconnected the Wacom only, no pref deletion or any software changes. Plugged in a 3rd party Microsoft mouse. The mouse worked fine in PS. Plugged the Wacom back in and all is good. Looks like its pointing to Wacom.