Environment

Windows build number: Microsoft Windows NT 10.0.19041.0
Windows Terminal version: 0.9.433.0

Any other software?
Git for windows: 2.25.1 (picked cmd.exe instead of MinTTY as the terminal emulator for git-bash)
Git bash/uname: MINGW64_NT-10.0-19041 SPNTECHLAP16 3.0.7-338.x86_64 2019-11-21 23:07 UTC x86_64 Msys

Steps to reproduce

1. Run git-bash through Windows Terminal
2. Execute tool that produces ansi sequences, e.g. stern

Expected behavior

1. Ansi/vt100 sequences are processed

Actual behavior

1. Ansi/vt100 sequences are visible in terminal output

Comments

There are similar issues already here tracked, however, I'm not 100% sure if this is the same case (cygwin related issue #2837), as starting git-bash and running apps there works fine:

Problem is when the same git-bash is now started via Windows Terminal,