[BUG] MCP tool calls collapsed by default in v2.1.81 — hides parameters and results

What happened

v2.1.81 introduced collapsing MCP read/search tool calls into a single "Queried {server}" line. This hides both the parameters sent and the results returned. You have to press Ctrl+O every time to see what actually happened.

Why this is a problem

• No visibility into what was sent. The collapsed line says "Queried perplexity" but not what query, what parameters, how many results were requested. You're flying blind.
• No visibility into what came back. The whole point of using MCP tools interactively is seeing the results flow through the conversation. Collapsing them defeats this.
• Breaks the interactive workflow. Users working with MCP tools (search APIs, databases, etc.) need to see inputs and outputs at a glance — not expand every single call manually.
• This was not requested. The changelog calls it an "improvement" but it removes information that was previously visible by default.

Expected behavior

MCP tool calls should show their parameters and results inline, as they did before v2.1.81. At minimum, provide a setting like collapseMcpResults: false to restore the previous behavior.

Steps to reproduce

1. Connect any MCP server (e.g., Perplexity)
2. Ask Claude to use an MCP tool
3. Observe that the tool call collapses to "Queried {server} (ctrl+o to expand)"
4. No parameters or results visible without manually expanding

Environment

• Claude Code v2.1.81
• macOS