diff --git a/src/renderer/src/components/dashboard-popout/AgentTerminalPreview.tsx b/src/renderer/src/components/dashboard-popout/AgentTerminalPreview.tsx
index cceea6da28b..e1facef49f5 100644
--- a/src/renderer/src/components/dashboard-popout/AgentTerminalPreview.tsx
+++ b/src/renderer/src/components/dashboard-popout/AgentTerminalPreview.tsx
@@ -129,7 +129,8 @@ export function AgentTerminalPreview({
     const gridClaim = createPreviewGridClaim({
       ptyId,
       container,
-      getTerminal: () => terminal
+      getTerminal: () => terminal,
+      getBaseFontSize: () => settingsRef.current?.terminalFontSize ?? 14
     })
     // Box growth/shrink (window resize) changes the reachable grid.
     const boxResizeObserver =
diff --git a/src/renderer/src/components/dashboard-popout/preview-grid-claim.test.ts b/src/renderer/src/components/dashboard-popout/preview-grid-claim.test.ts
index e933174e87d..6d64ebf08e3 100644
--- a/src/renderer/src/components/dashboard-popout/preview-grid-claim.test.ts
+++ b/src/renderer/src/components/dashboard-popout/preview-grid-claim.test.ts
@@ -30,7 +30,8 @@ describe('createPreviewGridClaim', () => {
     const claim = createPreviewGridClaim({
       ptyId: 'pty-1',
       container,
-      getTerminal: () => ({ cols: 80, rows: 24 }) as never
+      getTerminal: () => ({ cols: 80, rows: 24, options: { fontSize: 14 } }) as never,
+      getBaseFontSize: () => 14
     })
 
     claim.schedule()
@@ -63,7 +64,8 @@ describe('createPreviewGridClaim', () => {
     const claim = createPreviewGridClaim({
       ptyId: 'pty-1',
       container,
-      getTerminal: () => ({ cols: 80, rows: 24 }) as never
+      getTerminal: () => ({ cols: 80, rows: 24, options: { fontSize: 14 } }) as never,
+      getBaseFontSize: () => 14
     })
 
     claim.schedule()
@@ -79,4 +81,33 @@ describe('createPreviewGridClaim', () => {
     expect(fit).toHaveBeenCalledWith('pty-1', 100, 30)
     claim.dispose()
   })
+
+  it('claims from base metrics after fallback fitting shrinks the preview font', async () => {
+    vi.useFakeTimers()
+    const fit = vi.fn(async (_ptyId: string, cols: number, rows: number) => ({ cols, rows }))
+    Object.assign(window, { api: { terminalPreview: { fit } } })
+    const box = document.createElement('div')
+    const container = document.createElement('div')
+    const screen = document.createElement('div')
+    screen.className = 'xterm-screen'
+    box.appendChild(container)
+    container.appendChild(screen)
+    dimension(box, 'clientWidth', 800)
+    dimension(box, 'clientHeight', 480)
+    // The 200x24 source grid was 1600x384 at 14px, then fitted to 800x192 at 7px.
+    dimension(screen, 'offsetWidth', 800)
+    dimension(screen, 'offsetHeight', 192)
+    const claim = createPreviewGridClaim({
+      ptyId: 'pty-1',
+      container,
+      getTerminal: () => ({ cols: 200, rows: 24, options: { fontSize: 7 } }) as never,
+      getBaseFontSize: () => 14
+    })
+
+    claim.schedule()
+    await vi.advanceTimersByTimeAsync(200)
+
+    expect(fit).toHaveBeenCalledWith('pty-1', 100, 30)
+    claim.dispose()
+  })
 })
diff --git a/src/renderer/src/components/dashboard-popout/preview-grid-claim.ts b/src/renderer/src/components/dashboard-popout/preview-grid-claim.ts
index 6f145e13ea1..9fbf868c248 100644
--- a/src/renderer/src/components/dashboard-popout/preview-grid-claim.ts
+++ b/src/renderer/src/components/dashboard-popout/preview-grid-claim.ts
@@ -24,6 +24,7 @@ export function createPreviewGridClaim(args: {
   ptyId: string
   container: HTMLElement
   getTerminal: () => Terminal | null
+  getBaseFontSize: () => number
 }): { schedule: () => void; dispose: () => void } {
   let lastRequestedFit: string | null = null
   let timer: ReturnType<typeof setTimeout> | null = null
@@ -40,8 +41,12 @@ export function createPreviewGridClaim(args: {
       return
     }
     // offsetWidth/Height are layout dims, unaffected by the scale transform.
-    const cellWidth = screen.offsetWidth / Math.max(1, terminal.cols)
-    const cellHeight = screen.offsetHeight / Math.max(1, terminal.rows)
+    // Font fitting must not make a later claim ask for the oversized source
+    // grid again; normalize the rendered cells back to settings font metrics.
+    const currentFontSize = terminal.options.fontSize ?? args.getBaseFontSize()
+    const fontScale = args.getBaseFontSize() / currentFontSize
+    const cellWidth = (screen.offsetWidth / Math.max(1, terminal.cols)) * fontScale
+    const cellHeight = (screen.offsetHeight / Math.max(1, terminal.rows)) * fontScale
     if (
       !Number.isFinite(cellWidth) ||
       !Number.isFinite(cellHeight) ||
diff --git a/src/renderer/src/components/dashboard-popout/preview-terminal-fit-scale.test.ts b/src/renderer/src/components/dashboard-popout/preview-terminal-fit-scale.test.ts
index 39b82d81ba4..c290bca6843 100644
--- a/src/renderer/src/components/dashboard-popout/preview-terminal-fit-scale.test.ts
+++ b/src/renderer/src/components/dashboard-popout/preview-terminal-fit-scale.test.ts
@@ -39,6 +39,55 @@ describe('planPreviewFitScale', () => {
     expect(plan.residualScale).toBeLessThan(1)
   })
 
+  it('rounds down when the nearest step would exceed the residual blur budget', () => {
+    const plan = planPreviewFitScale({
+      boxWidth: 518,
+      screenWidth: 1000,
+      currentFontSize: 14,
+      baseFontSize: 14
+    })
+    // ideal 7.252; rounding to 7.5 would require scale(0.967), so use 7px natively.
+    expect(plan.fontSize).toBe(7)
+    expect(plan.residualScale).toBe(1)
+  })
+
+  it('converges instead of alternating across rounded xterm measurements', () => {
+    let fontSize = 14
+    const plannedSizes: number[] = []
+    // These are the observed 84-column widths that previously produced the
+    // unbounded 14 -> 6 -> 6.5 -> 6 cycle in a 315px box.
+    const measuredWidths = new Map([
+      [14, 706],
+      [6, 302],
+      [6.5, 328]
+    ])
+    for (let step = 0; step < 5; step += 1) {
+      const plan = planPreviewFitScale({
+        boxWidth: 315,
+        screenWidth: measuredWidths.get(fontSize)!,
+        currentFontSize: fontSize,
+        baseFontSize: 14,
+        maxFontSize: step === 0 ? 14 : fontSize
+      })
+      fontSize = plan.fontSize
+      plannedSizes.push(fontSize)
+    }
+
+    expect(plannedSizes).toEqual([6, 6, 6, 6, 6])
+  })
+
+  it('holds a same-layout font when residual scaling alone suggests the adjacent step', () => {
+    const plan = planPreviewFitScale({
+      boxWidth: 372,
+      screenWidth: 354,
+      currentFontSize: 7,
+      baseFontSize: 14,
+      maxFontSize: 7
+    })
+    expect(plan.fontSize).toBe(7)
+    expect(plan.residualScale).toBe(1)
+  })
+
   it('never scales the font above the settings base when the box grows back', () => {
     const plan = planPreviewFitScale({
       boxWidth: 2000,
@@ -50,6 +99,26 @@ describe('planPreviewFitScale', () => {
     expect(plan.residualScale).toBe(1)
   })
 
+  it('restores the base font after the preview grid claim succeeds', () => {
+    const fallback = planPreviewFitScale({
+      boxWidth: 800,
+      screenWidth: 1600,
+      currentFontSize: 14,
+      baseFontSize: 14
+    })
+    expect(fallback.fontSize).toBe(7)
+
+    // The accepted claim halves the grid, so its 7px rendering is now 400px wide.
+    const claimed = planPreviewFitScale({
+      boxWidth: 800,
+      screenWidth: 400,
+      currentFontSize: fallback.fontSize,
+      baseFontSize: 14
+    })
+    expect(claimed.fontSize).toBe(14)
+    expect(claimed.residualScale).toBe(1)
+  })
+
   it('holds steady within tolerance so measure-apply loops cannot oscillate', () => {
     // After the first shrink lands, the re-measure produces a near-identical
     // ideal; a repeated plan must return the current font unchanged.
diff --git a/src/renderer/src/components/dashboard-popout/preview-terminal-fit-scale.ts b/src/renderer/src/components/dashboard-popout/preview-terminal-fit-scale.ts
index b4a1353c60a..505383ad152 100644
--- a/src/renderer/src/components/dashboard-popout/preview-terminal-fit-scale.ts
+++ b/src/renderer/src/components/dashboard-popout/preview-terminal-fit-scale.ts
@@ -28,8 +28,10 @@ export function planPreviewFitScale(args: {
   currentFontSize: number
   /** The settings-configured font size the preview must never exceed. */
   baseFontSize: number
+  /** Same-layout remeasurement caps growth to prevent adjacent-step cycles. */
+  maxFontSize?: number
 }): PreviewFitScalePlan {
-  const { boxWidth, screenWidth, currentFontSize, baseFontSize } = args
+  const { boxWidth, screenWidth, currentFontSize, baseFontSize, maxFontSize = baseFontSize } = args
   if (boxWidth <= 0 || screenWidth <= 0 || currentFontSize <= 0 || baseFontSize <= 0) {
     return { fontSize: currentFontSize > 0 ? currentFontSize : baseFontSize, residualScale: 1 }
   }
@@ -37,7 +39,20 @@ export function planPreviewFitScale(args: {
   // within the tolerance and the residual transform absorbs rounding.
   const naturalWidthAtBase = (screenWidth / currentFontSize) * baseFontSize
   const idealFontSize = baseFontSize * (boxWidth / naturalWidthAtBase)
-  const fontSize = Math.round(clamp(idealFontSize, MIN_PREVIEW_FONT_PX, baseFontSize) * 2) / 2
+  const clampedFontSize = clamp(
+    idealFontSize,
+    MIN_PREVIEW_FONT_PX,
+    Math.min(baseFontSize, maxFontSize)
+  )
+  const nearestFontSize = Math.round(clampedFontSize * 2) / 2
+  const nearestPredictedWidth = (screenWidth / currentFontSize) * nearestFontSize
+  const nearestResidualScale = Math.min(1, boxWidth / nearestPredictedWidth)
+  // Prefer the next smaller native step when nearest rounding would leave a
+  // visible transform; below the readability floor, the fallback is accepted.
+  const fontSize =
+    clampedFontSize > MIN_PREVIEW_FONT_PX && nearestResidualScale < 1 - FONT_FIT_TOLERANCE
+      ? Math.floor(clampedFontSize * 2) / 2
+      : nearestFontSize
   const withinTolerance =
     Math.abs(fontSize - currentFontSize) / currentFontSize <= FONT_FIT_TOLERANCE
   const effectiveFontSize = withinTolerance ? currentFontSize : fontSize
diff --git a/src/renderer/src/components/dashboard-popout/preview-terminal-fit.test.ts b/src/renderer/src/components/dashboard-popout/preview-terminal-fit.test.ts
new file mode 100644
index 00000000000..9ca7da1e720
--- /dev/null
+++ b/src/renderer/src/components/dashboard-popout/preview-terminal-fit.test.ts
@@ -0,0 +1,102 @@
+// @vitest-environment happy-dom
+
+import { afterEach, describe, expect, it, vi } from 'vitest'
+import { createPreviewFitScheduler } from './preview-terminal-fit'
+
+function dimension(element: HTMLElement, name: string, get: () => number): void {
+  Object.defineProperty(element, name, { configurable: true, get })
+}
+
+describe('createPreviewFitScheduler', () => {
+  afterEach(() => vi.unstubAllGlobals())
+
+  it('settles the reported adjacent-size cycle without another frame', () => {
+    const frames: FrameRequestCallback[] = []
+    vi.stubGlobal('requestAnimationFrame', (callback: FrameRequestCallback) => {
+      frames.push(callback)
+      return frames.length
+    })
+    const box = document.createElement('div')
+    const container = document.createElement('div')
+    const screen = document.createElement('div')
+    screen.className = 'xterm-screen'
+    box.appendChild(container)
+    container.appendChild(screen)
+    const terminal = {
+      cols: 84,
+      rows: 24,
+      options: { fontSize: 14 },
+      buffer: { active: { cursorY: 0 } }
+    }
+    const measuredWidths = new Map([
+      [14, 706],
+      [6, 302],
+      [6.5, 328]
+    ])
+    dimension(box, 'clientWidth', () => 315)
+    dimension(box, 'clientHeight', () => 480)
+    dimension(screen, 'offsetWidth', () => measuredWidths.get(terminal.options.fontSize)!)
+    dimension(screen, 'offsetHeight', () => 384)
+    const { scheduleFit } = createPreviewFitScheduler({
+      container,
+      getTerminal: () => terminal as never,
+      getBaseFontSize: () => 14
+    })
+
+    scheduleFit()
+    frames.shift()!(0)
+    expect(terminal.options.fontSize).toBe(6)
+    expect(frames).toHaveLength(1)
+
+    frames.shift()!(0)
+    expect(terminal.options.fontSize).toBe(6)
+    expect(frames).toHaveLength(0)
+  })
+
+  it('allows the base font to return after a successful grid claim', () => {
+    const frames: FrameRequestCallback[] = []
+    vi.stubGlobal('requestAnimationFrame', (callback: FrameRequestCallback) => {
+      frames.push(callback)
+      return frames.length
+    })
+    const box = document.createElement('div')
+    const container = document.createElement('div')
+    const screen = document.createElement('div')
+    screen.className = 'xterm-screen'
+    box.appendChild(container)
+    container.appendChild(screen)
+    const terminal = {
+      cols: 200,
+      rows: 24,
+      options: { fontSize: 7 },
+      buffer: { active: { cursorY: 0 } }
+    }
+    dimension(box, 'clientWidth', () => 800)
+    dimension(box, 'clientHeight', () => 480)
+    dimension(
+      screen,
+      'offsetWidth',
+      () => (terminal.cols === 200 ? 800 : 400) * (terminal.options.fontSize / 7)
+    )
+    dimension(screen, 'offsetHeight', () => 192)
+    const { scheduleFit } = createPreviewFitScheduler({
+      container,
+      getTerminal: () => terminal as never,
+      getBaseFontSize: () => 14
+    })
+
+    scheduleFit()
+    frames.shift()!(0)
+    expect(terminal.options.fontSize).toBe(7)
+
+    terminal.cols = 100
+    scheduleFit()
+    frames.shift()!(0)
+    expect(terminal.options.fontSize).toBe(14)
+    expect(frames).toHaveLength(1)
+
+    frames.shift()!(0)
+    expect(terminal.options.fontSize).toBe(14)
+    expect(frames).toHaveLength(0)
+  })
+})
diff --git a/src/renderer/src/components/dashboard-popout/preview-terminal-fit.ts b/src/renderer/src/components/dashboard-popout/preview-terminal-fit.ts
index 4781f2ba7b0..c64b9d49951 100644
--- a/src/renderer/src/components/dashboard-popout/preview-terminal-fit.ts
+++ b/src/renderer/src/components/dashboard-popout/preview-terminal-fit.ts
@@ -13,6 +13,7 @@ export function createPreviewFitScheduler(args: {
   getBaseFontSize: () => number
 }): { scheduleFit: () => void } {
   const { container, getTerminal, getBaseFontSize } = args
+  let lastFitContext: { boxWidth: number; cols: number; baseFontSize: number } | null = null
 
   const fitToBox = (): void => {
     const terminal = getTerminal()
@@ -22,12 +23,20 @@ export function createPreviewFitScheduler(args: {
       return
     }
     const baseFontSize = getBaseFontSize()
+    const currentFontSize = terminal.options.fontSize ?? baseFontSize
+    const allowFontGrowth =
+      !lastFitContext ||
+      box.clientWidth > lastFitContext.boxWidth ||
+      terminal.cols !== lastFitContext.cols ||
+      baseFontSize !== lastFitContext.baseFontSize
     const plan = planPreviewFitScale({
       boxWidth: box.clientWidth,
       screenWidth: Math.max(1, screen.offsetWidth),
-      currentFontSize: terminal.options.fontSize ?? baseFontSize,
-      baseFontSize
+      currentFontSize,
+      baseFontSize,
+      maxFontSize: allowFontGrowth ? baseFontSize : currentFontSize
     })
+    lastFitContext = { boxWidth: box.clientWidth, cols: terminal.cols, baseFontSize }
     if (plan.fontSize !== terminal.options.fontSize) {
       terminal.options.fontSize = plan.fontSize
       // Re-measure next frame: the renderer applies the new metrics async.