ç character can't be typed in VSCode Jupyter notebook

Question

Hey portuguese and french speakers out there. When I try to type inside VSCode Jupyter Notebook Markdown cells any word that has a ç character in it, the ç is simply not typed and I end up needing to use c instead, but that is obviously grammatically incorrect. Weirdly enough this issue doesn't happen when I use the code cells with python.

I tried to look the JSON settings file for the Jupyter Notebook, but nothing seems to be wrong.

Here is a my Jupiter Notebook settings file:

    {
    "workbench.colorTheme": "Palenight Theme",
    "workbench.editorAssociations": {
        "*.ipynb": "jupyter-notebook"
    },
    "files.autoSave": "onFocusChange",
    "editor.suggestSelection": "first",
    "vsintellicode.modify.editor.suggestSelection": "automaticallyOverrodeDefaultValue",
    "notebook.cellToolbarLocation": {
        "default": "right",
        "jupyter-notebook": "left"
    },
    "matlab.linterConfig": ".../MATLAB_R2016a.app/bin/maci64/mlint",
    "workbench.iconTheme": "city-lights-icons-vsc",
    "matlab.matlabpath": ".../MATLAB_R2021a.app",
    "matlab.mlintpath": ".../MATLAB_R2021a.app/bin/maci64/mlint",
    "matlab-interactive-terminal.CursorBack": false,
    "json.schemas": [
    
    ],
    "notebook.lineNumbers": "on",
    "workbench.colorCustomizations": {
        "[Material Theme Palenight]": {
            "activityBarBadge.background": "#80CBC4",
            "activityBar.activeBorder": "#80CBC4",
            "list.activeSelectionForeground": "#80CBC4",
            "list.inactiveSelectionForeground": "#80CBC4",
            "list.highlightForeground": "#80CBC4",
            "scrollbarSlider.activeBackground": "#80CBC450",
            "editorSuggestWidget.highlightForeground": "#80CBC4",
            "textLink.foreground": "#80CBC4",
            "progressBar.background": "#80CBC4",
            "pickerGroup.foreground": "#80CBC4",
            "tab.activeBorder": "#80CBC4",
            "notificationLink.foreground": "#80CBC4",
            "editorWidget.resizeBorder": "#80CBC4",
            "editorWidget.border": "#80CBC4",
            "settings.modifiedItemIndicator": "#80CBC4",
            "settings.headerForeground": "#80CBC4",
            "panelTitle.activeBorder": "#80CBC4",
            "breadcrumb.activeSelectionForeground": "#80CBC4",
            "menu.selectionForeground": "#80CBC4",
            "menubar.selectionForeground": "#80CBC4",
            "editor.findMatchBorder": "#80CBC4",
            "selection.background": "#80CBC440",
            "statusBarItem.remoteBackground": "#80CBC4"
        }
    },
    "materialTheme.accent": "Teal",
    "arduino.path": " ... /Arduino.app",
    "C_Cpp.updateChannel": "Insiders",
    "bracketPairColorizer.depreciation-notice": false,
    "arduino.commandPath": "Contents/MacOS/Arduino",
    "git.autofetch": true,
    "kite.showWelcomeNotificationOnStartup": false,
    "terminal.integrated.inheritEnv": false,
    "notebook.consolidatedRunButton": true
}

I've changed paths to post the issue here. Could anyone give me help around here?