[BUG] Regression in v2.1.150: cannot select text outside current screen

Preflight Checklist

• [x] I have searched existing issues and this hasn't been reported yet
• [x] This is a single bug report (please file separate reports for different bugs)
• [x] I am using the latest version of Claude Code

What's Wrong?

Description

Claude Code v2.1.150 does not allow selecting text outside of the current screen.

Prior version (v2.1.148) allowed selecting text outside the current screen by scrolling while selecting — either by mouse drag, or via Windows Terminal's mark mode (Ctrl+Shift+M).

Actual

Selection is confined to the currently visible screen; the view does not scroll while selecting.

Environment

• Claude Code: v2.1.150 (regressed from v2.1.148)
• Terminal: Windows Terminal
• OS: Windows + WSL2 (Linux 6.6.114.1-microsoft-standard-WSL2)

Workarounds tried

• CLAUDE_CODE_DISABLE_MOUSE=1 — does not allow to select outside of screen.
• CLAUDE_CODE_DISABLE_MOUSE_CLICKS=1 — allows Claude Code scrolling by mouse wheel, but does not allow Ctrl+Shift+M mark-mode scroll-extension behavior that Windows Terminal has.
• Holding Shift while dragging — bypasses mouse capture by Claude Code, which prevents Claude Code screen scrolling.

Related

Possibly related to #27995, #21386.

What Should Happen?

Selection extends into the scrollback as the view scrolls (worked in v2.1.148).

Error Messages/Logs

Steps to Reproduce

1. Run claude in Windows Terminal.
2. Try to select text that extends above the visible screen by:

• Click-dragging upward past the top edge, OR
• Entering Windows Terminal mark mode with Ctrl+Shift+M and using arrow keys/Shift+arrows to extend selection into scrollback.

Claude Model

None

Is this a regression?

Yes, this worked in a previous version

Last Working Version

v2.1.148

Claude Code Version

v2.1.150

Platform

Anthropic API

Operating System

Windows

Terminal/Shell

WSL (Windows Subsystem for Linux)

Additional Information

_No response_