How can I transfer files from iCloud to an external hard drive?

If your Mac is low on storage, that might prevent transferring those iCloud files. Make sure to clear out some space first. Also, avoid transferring too many files at once; start with smaller ones to see if that helps.

The cloud icon means those files are stored in iCloud and aren't on your Mac right now. To transfer them, you need to download them first. You can either open the files or right-click and choose 'Download Now.' Once they're on your Mac, you can easily drag them to your external drive. Remember, they're just placeholders until you download them, so they aren't taking up your Mac's storage.

You might want to turn off the iCloud Desktop and Documents feature if those files are causing issues. Once that's disabled, you can manually download the files you need.

If downloading them isn't working as expected, you might try dragging and dropping the files directly to your external hard drive. This should initiate the download and copy process at the same time. Also, did you check if the icon made you assume you couldn't move them without testing it first?