Custom view interactive glass effect clipped by view bounds when tapped

Take this piece of code for example:

Menu {
    ...
} label: {
    Image(systemName: "ellipsis.circle")
        .resizable()
        .foregroundStyle(Color.primary)
        .frame(width: 24, height: 24)
        .contentShape(.circle)
        .padding(.spacing8)
        .glassEffect(.regular.interactive(), in: .circle)
}
.tint(nil)

When tapped, the interactive liquid glass effect expands in response, but the expanded glass is then clipped by the original bounds of the view. In this example, the button would briefly show up as a highlighted square due to the clipping.

If I add enough padding around the Menu's label, the expanded glass effect is be able to show unclipped, but this feels like a hack.

Is this a bug in the framework, or am I doing something wrong? I have submitted FB19801519 with screen recording and demo project.