diff --git a/src/workspace/workspaceMonitor.ts b/src/workspace/workspaceMonitor.ts
index 8454b94b86..a2e2f5a5eb 100644
--- a/src/workspace/workspaceMonitor.ts
+++ b/src/workspace/workspaceMonitor.ts
@@ -371,9 +371,11 @@ export class WorkspaceMonitor implements vscode.Disposable {
 		logs: readonly WorkspaceAgentLog[],
 	): vscode.Terminal {
 		const writeEmitter = new vscode.EventEmitter<string>();
+		// End every line so the cursor sits below the logs: xterm.js never
+		// reflows the cursor's line, which `open` writes before the final width.
 		const output = logs
-			.map((log) => log.output.replace(/\r?\n/g, "\r\n"))
-			.join("\r\n");
+			.map((log) => log.output.replace(/\r?\n/g, "\r\n") + "\r\n")
+			.join("");
 		return vscode.window.createTerminal({
 			name,
 			pty: {
diff --git a/test/unit/workspace/workspaceMonitor.test.ts b/test/unit/workspace/workspaceMonitor.test.ts
index 3f182f4dfe..dbc1d900d5 100644
--- a/test/unit/workspace/workspaceMonitor.test.ts
+++ b/test/unit/workspace/workspaceMonitor.test.ts
@@ -552,7 +552,7 @@ describe("WorkspaceMonitor", () => {
 
 			await vi.waitFor(() => {
 				expect(Object.fromEntries(writes)).toEqual({
-					"Startup Logs: Install deps": ["installing\r\nnpm ERR!"],
+					"Startup Logs: Install deps": ["installing\r\nnpm ERR!\r\n"],
 				});
 			});
 		});