diff --git a/packages/pi-coding-agent/src/modes/interactive/components/assistant-message.ts b/packages/pi-coding-agent/src/modes/interactive/components/assistant-message.ts
index 3f91ff066..996354512 100644
--- a/packages/pi-coding-agent/src/modes/interactive/components/assistant-message.ts
+++ b/packages/pi-coding-agent/src/modes/interactive/components/assistant-message.ts
@@ -88,6 +88,7 @@ export class AssistantMessageComponent extends Container {
 			(c) => (c.type === "text" && c.text.trim()) || (c.type === "thinking" && c.thinking.trim()),
 		);
 		const hasTextContent = message.content.some((c) => c.type === "text" && c.text.trim().length > 0);
+		const hasToolContent = message.content.some((c) => c.type === "toolCall" || c.type === "serverToolUse");
 
 		if (hasVisibleContent) {
 			this.contentContainer.addChild(new Spacer(1));
@@ -119,8 +120,9 @@ export class AssistantMessageComponent extends Container {
 						color: (text: string) => theme.fg("thinkingText", text),
 						italic: true,
 					});
-					// Keep assistant text/questions visible even when thinking traces are long.
-					if (hasTextContent) {
+					// Keep visible chat output readable when thinking traces are long.
+					// Tool-bearing turns can stream text in a later assistant message.
+					if (hasTextContent || hasToolContent) {
 						thinkingMarkdown.maxLines = 8;
 					}
 					this.contentContainer.addChild(thinkingMarkdown);
diff --git a/src/tests/assistant-message-thinking-visibility.test.ts b/src/tests/assistant-message-thinking-visibility.test.ts
index 29fc356ee..2821cf64a 100644
--- a/src/tests/assistant-message-thinking-visibility.test.ts
+++ b/src/tests/assistant-message-thinking-visibility.test.ts
@@ -28,7 +28,13 @@ test("assistant-message caps thinking block height when text content is present"
 
   assert.match(
     src,
-    /if \(hasTextContent\)\s*\{\s*thinkingMarkdown\.maxLines = 8;\s*\}/s,
-    "assistant-message should cap visible thinking lines when assistant text also exists",
+    /const hasToolContent = message\.content\.some\(\(c\) => c\.type === "toolCall" \|\| c\.type === "serverToolUse"\);/,
+    "assistant-message should detect tool blocks in mixed turns",
+  );
+
+  assert.match(
+    src,
+    /if \(hasTextContent \|\| hasToolContent\)\s*\{\s*thinkingMarkdown\.maxLines = 8;\s*\}/s,
+    "assistant-message should cap visible thinking lines when assistant text exists or tool blocks are present",
   );
 });