Show default cursor when alt is held in terminal

Fixes #44586

src/vs/workbench/parts/terminal/electron-browser/media/terminal.css

@@ -100,6 +100,11 @@
 	text-decoration: underline;
 }
 
+/* Use the default cursor when alt is active to help with clicking to move cursor */
+.monaco-workbench .panel.integrated-terminal .terminal-outer-container.alt-active .xterm {
+	cursor: default;
+}
+
 .monaco-workbench .panel.integrated-terminal .xterm {
 	position: absolute;
 	bottom: 0;

src/vs/workbench/parts/terminal/electron-browser/terminalPanel.ts

@@ -262,6 +262,12 @@ export class TerminalPanel extends Panel {
 			}
 			this._cancelContextMenu = false;
 		}));
+		this._register(dom.addDisposableListener(document, 'keydown', (event: KeyboardEvent) => {
+			this._terminalContainer.classList.toggle('alt-active', !!event.altKey);
+		}));
+		this._register(dom.addDisposableListener(document, 'keyup', (event: KeyboardEvent) => {
+			this._terminalContainer.classList.toggle('alt-active', !!event.altKey);
+		}));
 		this._register(dom.addDisposableListener(this._parentDomElement, 'keyup', (event: KeyboardEvent) => {
 			if (event.keyCode === 27) {
 				// Keep terminal open on escape