Claude Code 2.1.295 adds onFailure:block for hooks and Program Status Protocol for terminals

Released Oct 8, command and HTTP hooks can set onFailure: "block" so a hook that can't start, times out, or exits unexpectedly blocks the action instead of letting it through, and terminals that speak OSC 7501 can show whether Claude Code is working, waiting on you, or done. It also raises the MCP tool-description cap through tool search from 2,048 to 16,384 characters, backs off remote MCP reconnects after outages, and folds in 2.1.294's fix for prompt/agent hooks that were allowing what they were written to block.