Cursor fails to recognize newly created files

Describe the Bug

Hi there,
I just updated to Cursor 1.0 from 0.5 and ever since, the agent fails to detect a newly created file. Not saying the bug is caused by 1.0 (might be a coincidence) but it appeared after the update.
It goes like:
“let me create xyz.ts file:”
proceeds to create the file
“let me try creating the file again with a different approach”

it goes on with this loop for at least 2-3 iterations which is quite annoying.

I rebooted my computer, with no impact.

What am i missing and is there anything i can do to avoid this ?
Do you also see this bug ?

Thank you,
Sam

Steps to Reproduce

simply ask for a new feature and see

Screenshots / Screen Recordings

Operating System

Linux

Current Cursor Version (Menu → About Cursor → Copy)

Version: 1.0.0
VSCode Version: 1.96.2
Commit: 53b99ce608cba35127ae3a050c1738a959750860
Date: 2025-06-04T19:26:40.367Z
Electron: 34.5.1
Chromium: 132.0.6834.210
Node.js: 20.19.0
V8: 13.2.152.41-electron.0
OS: Linux x64 6.8.0-60-generic

Does this stop you from using Cursor

No - Cursor works, but with this issue

Hey, which model are you using? Have you tried creating a new chat to see if the same issue occurs there?

V1. Yes.
new chat / rebooting cursor / reboot the computer
= Still the same issue

This has been happening for a long time, starting a new chat does fix the issue.