As a long time Total Commander user, I rely heavily on opening cmd.exe/powershell.exe/pwsh.exe/bash in the currently selected directory. So I was a bit annoyed when i found out that the new Windows Terminal, wt.exe, by default opens in your home directory.
It turns out to be a regression. For now, the workaround is to add
to the default profile in settings.json (Windows Terminal -> dropdown -> Settings), e.g.