[BUG] /MCP command in VS Code extension breaks UI -

Environment

• Platform (select one):
• [ ] Anthropic API
• [ ] AWS Bedrock
• [ ] Google Vertex AI
• [ X] Other: VSCode/Cursor/Windsurf
• Claude CLI version: Version 1.0.11:
• Operating System: MacOS 15.5 (24F74)
• Terminal: VS Code/Cursor/Windsurf CC terminal interface

Bug Description

User text input panel disappears when typing /MCP - must hit escape to reveal the input area again. DOES NOT occur in WARP nor MacOS standard terminals.

Steps to Reproduce

1. Lauch CC in VS/Cursor/Windsurf Terminal
2. TYpe /MCP
3. You should see nothing and no indication of next steps.

Expected Behavior

Same output as standard terminals outside VS/Cursor/Windsurf - see attached pic.

<img width="905" alt="Image" src="https://github.com/user-attachments/assets/23c71163-b385-4329-97f4-ff3f4c535bdd" />

Actual Behavior

Shows now other than last CC output - see attached pic 2.

<img width="1719" alt="Image" src="https://github.com/user-attachments/assets/23979987-275b-477c-ad37-4422aca6ea6d" />