The Prompt stream failed: Agent has been closed error can occur when your project is in a macOS privacy-protected directory like ~/Desktop, ~/Documents, or ~/Downloads. macOS should prompt you to grant Claude access to these locations, but if the prompt doesn't appear or was previously denied, the agent can fail with this error. Workaround: Move your project to a non-protected directory such as ~/src, then reopen it in Xcode.
Topic:
Developer Tools & Services
SubTopic:
Xcode
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