Keyboard problem in MacOS guest system, obviously introduced with Parallels 18.0.2

I'm using Parallels to virtualize an old MacOS 10.9.5 (Mavericks), because one of my clients insists on still using old Adobe software (InDesign CS 5.5) and a CMS of comparable age. The host is a maxed-out Mac mini 2018 (6-core i7, 64 GB, 2 TB SSD), running Monterey 12.6.

With the recent upgrade to Parallels 18.0.2 (53077), I experienced strange keyboard behavior in the virtualized MacOS: Typed text would randomly switch between upper case and lower case - just as someone would erratically and frequently press the shift key. The resulting text LOokS soMEWhaT lIKE thIS - which is of course unbearable when typing larger texts in a layout/editorial environment. Still, the problem occurs in all apps - for a quick try, also TextEdit showed the problem.

I managed to get rid of this problem by reinstalling 18.0.1 from my Time Machine backup. The app would then thankfully also downgrade its system extension, so that I am now back on 18.0.1. Interestingly, after restarting the guest OS, I immediately typed some text in TextEdit to check out the effect, and the problem would persist. But then, Parallels started installing its Parallel tools in the guest OS (which effectively downgraded them also to 18.0.1). After this was completed and one restart later, everything was back to normal. This lets me think that the bug is introduced by the Parallels tools for MacOS which come with 18.0.2.

Can anybody confirm this? And if yes: Parallels, could you please quickly fix this?

 

Yes I also had this, but installing Parallels tools fixed it

 

I have this. Installing the Parallels tools made it go away temporarily.
But it is back and it is very annoying.

 

Yeah it's annoying, try entering a password with that going on.

It seems I updated to ver 18 before it was ready. My Mojave VM barely works anyway. I'll use a backup and go back to ver 17 and see if it's any better.

 

Clearly 18.0.2 is a bust. I have another post here about a Mojave VM being unusably slow in all aspects.

I just opened a copy of that same VM in version 17 (I have a backup running Mojave and Parallels 17,) let it update (downgrade) the Parallels Tools, rebooted the VM and its totally fine.

Open a support case, they've obviously screwed it up (again.)