A Pokémon with the Magician Ability will be able to steal the Hold Item of an opponent that it strikes with a move. This won't work if the Pokémon that has Magician is already holding an item.
Magician doesn't have an effect in the Overworld.
Pokémon With This Ability
Related ThreadsRoyal vs Magician - last post by @ Nov 27, 2009
lead demon's soul - useful for a magician? - last post by @ Nov 17, 2009
I'm a magician - where do I go next? - last post by @ Nov 16, 2009
How can you survive as a magician? - last post by @ Nov 15, 2009