AHP: Background terminal causes agent response to never finish

[digitarald]

Description

STR:

1. Session that starts a background terminal to monitor server and logs
2. 🐛 At end of response, final paragraphs indicates agent is done, but the input-state is "working"
3. 🐛 Hitting Stop, a fresh agent response indicates that this stopped the background agent that monitored the terminal, triggering a second response.

Issue Details

Item	Value
Issue Category	Bug
Target	Visual Studio Code - Insiders
VS Code Version	Code - Insiders 1.125.0-insider (Universal) (93cfdd4, 2026-06-15T22:24:03Z)
OS Version	Darwin arm64 25.5.0

System Info

Item	Value
VS Code Version	Code - Insiders 1.125.0-insider (Universal) (93cfdd4, 2026-06-15T22:24:03Z)
OS Version	Darwin arm64 25.5.0
CPUs	Apple M4 Pro (14 x 2400)
GPU Status	2d_canvas: enabled GPU0: VENDOR= 0x106b [Google Inc. (Apple)], DEVICE=0x0000 [ANGLE (Apple, ANGLE Metal Renderer: Apple M4 Pro, Version 26.5.1 (Build 25F80))], DRIVER_VENDOR=Apple, DRIVER_VERSION=26.5.1 ACTIVE Machine model name: Mac Machine model version: 16.7 direct_rendering_display_compositor: disabled_off_ok gpu_compositing: enabled multiple_raster_threads: enabled_on opengl: enabled_on rasterization: enabled raw_draw: disabled_off_ok skia_graphite: enabled_on trees_in_viz: disabled_off video_decode: enabled video_encode: enabled webgl: enabled webgpu: enabled webnn: disabled_off
Load (avg)	5, 6, 7
Memory (System)	24.00GB (0.08GB free)
Process Argv	--log trace --crash-reporter-id 9b206efe-c338-4f34-baff-2aab1c48a82e
Screen Reader	no
VM	0%
User Agent	Mozilla/5.0 (Macintosh; Intel Mac OS X 10_15_7) AppleWebKit/537.36 (KHTML, like Gecko) Code-Insiders/1.125.0-insider Chrome/148.0.7778.97 Electron/42.2.0 Safari/537.36
Installation pure	true

[DonJayamanne]

looking into this.