Is Windows 11 notepad undo/redo broken when you disable “Continue previous session”

I don’t want notepad to remember my previous session so I changed the “When Notepad starts” setting to “Start new session and discard unsaved changes”. Pretty quickly I noticed what seems like an embarrassing bug.

Start notepad then do the following:

  1. New file
  2. Type “abc” – note the “X” on the file changes to “” to indicate unsaved changes
  3. Save file – “” changes back to “X”
  4. Type “def” – “X” changes back to “” because “def” is not on the file on disk
  5. Undo, “def” disappears, “” incorrectly remains…
  6. Redo, “def” reappears, “” incorrectly changes back to “X”
  7. Close file. No prompt to save unsaved “def”. Reopen file. “def” is gone

Can others reproduce? Am I missing something? Has anyone seen acknowledgment of the issue from Microsoft?