Stuck on Dying Exile [Bugged]

I can't get past the Dying Exile in Twilight Strand on my latest char. The Exclamation point on his head won't go away after I talk to him or hit Continue so the Drowned Exile next to him never attacks so I can't get my weapon or gem. Bug ID is 41433877.

you have to equip your weapon in case you have autoequip turned off and tutorial. I had same problem. I think its caused by tutorial - "you found a weapon, open inventory and equip it". So its not really a bug.