dev container breaks hot reloading

Issue Type: Bug

When I'm using a dev container, hot reloading no longer works. I have to restart the task for my program to rebuild. I'm building a NextJS & Express app within a NX monorepo, but I've tested it on a brand new NextJS app with no success.

devcontainer.json

{
    "name": "Node.js & Mongo DB",
    "dockerComposeFile": "docker-compose.yaml",
    "service": "app",
    "workspaceFolder": "/workspace",
}

docker-compose.yaml

version: "3.8"
services:
  app:
    build:
      context: .
      dockerfile: Dockerfile
      args:
        VARIANT: 14-buster
    env_file: ../.env
    volumes:
      - ..:/workspace:cached
      - app:/workspace/node_modules
    command: sleep infinity
volumes:
  app:

VS Code version: Code 1.62.2 (3a6960b964327f0e3882ce18fcebd07ed191b316, 2021-11-11T20:56:38.428Z) OS version: Windows_NT x64 10.0.19042 Restricted Mode: No Remote OS version: Linux x64 4.19.128-microsoft-standard

System Info

|Item|Value| |---|---| |CPUs|AMD Ryzen 9 5900X 12-Core Processor (24 x 3700)| |GPU Status|2d_canvas: enabled
gpu_compositing: enabled
multiple_raster_threads: enabled_on
oop_rasterization: enabled
opengl: enabled_on
rasterization: enabled
skia_renderer: enabled_on
video_decode: enabled
vulkan: disabled_off
webgl: enabled
webgl2: enabled| |Load (avg)|undefined| |Memory (System)|31.91GB (10.11GB free)| |Process Argv|--crash-reporter-id a42a78e2-7555-4f96-a47c-97d77872f0ce| |Screen Reader|no| |VM|0%| |Item|Value| |---|---| |Remote|Dev Container: Node.js & Mongo DB| |OS|Linux x64 4.19.128-microsoft-standard| |CPUs|AMD Ryzen 9 5900X 12-Core Processor (24 x 3699)| |Memory (System)|24.99GB (17.48GB free)| |VM|0%|

Extensions (23)

Extension|Author (truncated)|Version ---|---|--- language-postcss|cpy|1.1.0 es7-react-js-snippets|dsz|3.1.1 LogFileHighlighter|emi|2.13.0 auto-close-tag|for|0.5.13 auto-rename-tag|for|0.1.9 remotehub|Git|0.18.0 expressjs-4-snippets|gur|1.0.2 dotenv|mik|1.0.1 jupyter-keymap|ms-|1.0.0 remote-containers|ms-|0.205.2 remote-ssh|ms-|0.66.1 remote-ssh-edit|ms-|0.66.1 remote-wsl|ms-|0.58.5 material-icon-theme|PKi|4.10.0 open-in-browser|tec|2.0.0 vscode-nginx|wil|0.7.2 npm-intellisense|chr|1.4.0 prettier-vscode|esb|9.0.0 volar|joh|0.29.5 vscode-docker|ms-|1.18.0 angular-console|nrw|17.12.3 advanced-new-file|pat|1.2.2 vscodeintellicode|Vis|1.2.14

A/B Experiments

``` vsliv368cf:30146710 vsreu685:30147344 python383cf:30185419 vspor879:30202332 vspor708:30202333 vspor363:30204092 pythontb:30283811 pythonptprofiler:30281270 vshan820:30294714 vstes263:30335439 vscoreces:30384385 pythondataviewer:30285071 vscod805cf:30301675 pythonvspyt200:30340761 binariesv615:30325510 bridge0708:30335490 dockerwalkthru:30377721 bridge0723:30353136 pythonrunftest32:30373476 pythonf5test824:30373475 javagetstartedt:30391933 pythonvspyt187:30373474 vsqsis200cf:30386380 vsaa593:30376534 vssld246:30386377 ```

microsoft / vscode

dev container breaks hot reloading #137340