sphinx docstrings and vscode

I have the following docstring:

def test(foo):
    """this is my function
    
    .. code-block:: python
        cool function
    
    now I should be outside the codeblock. 
    But I'm not?
    
    .. code-block:: python
        next function
        
    I'm still inside the original codeblock?

    :param foo: _description_
    :type foo: _type_
    """

Which renders like this in VScode:

Am I writing the syntax incorrectly, or does VScode simply struggle with the rendering of sphinx format?

There are two ways to get the display right

1. Add a level of indentation for code blocks

def test(foo):
    """this is my function
    
        .. code-block:: python
        cool function
    
    now I should be outside the codeblock. 
    But I'm not?
    
        .. code-block:: python
        next function
        
    I'm still inside the original codeblock?

    :param foo: _description_
    :type foo: _type_
    """

2. Remove one level of indentation for non-code blocks

def test(foo):
    """this is my function
    
    .. code-block:: python
        cool function
    
now I should be outside the codeblock. 
But I'm not?
    
    .. code-block:: python
        next function
        
I'm still inside the original codeblock?

    :param foo: _description_
    :type foo: _type_
    """

I'm not sure if this is the correct syntax, or if it's a vscode error. If anyone thinks it's an error, you can report it on GitHub and share the link here.