[BUG] [BUG] After updating to 2.1.170, my working terminal interaction failed. Both trackerpad scrolling, and copy / paste were working. I can get copy / paste working using CLAUDE_CODE_DISABLE_MOUSE=1, but scrollback fails.

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?

Claude Code 2.1.170 introduced a regression affecting terminal mouse handling over SSH. Prior to the update (2.1.169), both mouse-wheel scrolling and copy/paste worked normally. After updating to 2.1.170, copy/paste failed unless CLAUDE_CODE_DISABLE_MOUSE=1 was set. Enabling that workaround restores copy/paste but breaks mouse-wheel scrolling within Claude conversations, causing the wheel to scroll the terminal's pre-launch scrollback instead of the active Claude session. Keyboard navigation (PgUp/PgDn) continues to function correctly. Environment: Ubuntu 24.04 over SSH, TERM=xterm-256color, no tmux/screen, alternate screen buffer enabled. This appears to be a regression in Claude Code's mouse event handling introduced in 2.1.170.

What Should Happen?

Copy / Paste works ok, mouse / trackpad history scroll should work (was working before this release)

Error Messages/Logs

Steps to Reproduce

run claude on Mac Terminal via SSH
Try to copy / paste, copy / paste fails, try scroll back through history, scrollback fails

Claude Model

Opus

Is this a regression?

Yes, this worked in a previous version

Last Working Version

2.1.169

Claude Code Version

2.1.170

Platform

Anthropic API

Operating System

macOS

Terminal/Shell

Terminal.app (macOS)

Additional Information

Terminal app from Mac onto Ubuntu Ubuntu 24.04 server via ssh