(This feature is still in development.)
Left click on this icon to open your inventory. These are the items you currently have in your hands, immediately available to you. (Note: In the future is a "Warehouse" feature that will allow you to store more items, like clothing and furniture, than you can reasonably carry.)
Items useful for stories, such as Mrs. Hatch's handkerchief, will be found in your inventory. We do not currently have the ability for a player to trade or give an item to another player. As it would be lovely to give and recieve gifts, we plan on fully implementing this ability sometime in the future.