Keep All doesn't work after 22nd Aug update

Where does the bug appear (feature/product)?

Cursor IDE

Describe the Bug

Since applying the 2 updates that were prompted today Cursor’s Keep All no longer applies the code changes. I have to brute force a Save All and then commit to Git to force the diff colours to disappear. It had all been working perfectly until these latest updates.

[Window Title]
Cursor

[Main Instruction]
Cursor

[Content]

Version: 1.5.3 (user setup)
VSCode Version: 1.99.3
Commit: aece02022292184bb34fa0c899a97928489b7b70
Date: 2025-08-22T04:48:34.365Z (12 hrs ago)
Electron: 34.5.8
Chromium: 132.0.6834.210
Node.js: 20.19.1
V8: 13.2.152.41-electron.0
OS: Windows_NT x64 10.0.26100

[Copy] [OK]

Steps to Reproduce

Do an agent request in Claude Sonnet 4 and the resulting changes can’t be applied.

Expected Behavior

It’s supposed to accept the green and red indicated changes

Operating System

Windows 10/11

Current Cursor Version (Menu → About Cursor → Copy)

[Window Title]
Cursor

[Main Instruction]
Cursor

[Content]

Version: 1.5.3 (user setup)
VSCode Version: 1.99.3
Commit: aece02022292184bb34fa0c899a97928489b7b70
Date: 2025-08-22T04:48:34.365Z (12 hrs ago)
Electron: 34.5.8
Chromium: 132.0.6834.210
Node.js: 20.19.1
V8: 13.2.152.41-electron.0
OS: Windows_NT x64 10.0.26100

Does this stop you from using Cursor

No - Cursor works, but with this issue

Hey, thanks for the report. The team is already working on fixing it.