VSCode Powershell embedded terminal hangs on startup

I am using VSCode version 1.12.2 on Windows 10 x64 build 16193. I am trying to debug Powershell in VSCode but I cannot get the PowerShell Integrated Terminal to work. Every time I launch the terminal, this is what I see:

And then it hangs at this point. I can still debug, run, enter, exit ... but I cannot view my variable or run any expression.

My VSCode is using powershell x64 here:

"terminal.integrated.shell.windows": "C:\\WINDOWS\\Sysnative\\WindowsPowerShell\\v1.0\\powershell.exe"

      

        
        
        
      

    

Thanks, Us