It's possible that the issue is with the Outlook on the web app itself. Try clearing the cache and cookies on the web browser being used to access Outlook on the web. If that doesn't work, try using a different web browser or device to access Outlook on the web. It's also possible that there is an issue with the email signature, as special characters in the signature can cause issues with creating new messages in Outlook on the web. Try removing the signature and creating a new message to see if the issue persists. If none of these solutions work, it may be necessary to contact Microsoft 365 Support for further assistance.
References: