Additional features, settings, or issues not covered by specific Microsoft Teams categories
Solution: create new all day meeting and save. Cancel the meeting. Teams status is refreshed.
Or
You simply set an out office reply (even though you are no longer out of office) to display at a time close to when you are setting it up and to shut off at the next available time....usually 15 minute increments...for it to stop displaying. It will clear the message in Teams after it reaches the time you scheduled it to shut off.
i.e. if I was doing this right now I would set my OOO to start displaying at 1:15 pm and to turn off at 1:30 pm the same day. Problem solved.