As a minimal example:

LC_CTYPE=en_US.UTF-8
PS1='\n\[\e[0m\]'

# put something into history:

echo foo

# ^R search for something that should put point in the middle of the string

(reverse-i-search)`fo': echo foo

# attempt to exit with end-of-line (^E)

echo foo
    ^    <---point is here

Trying to move beyond point does not work.

Also it seems that the prompt is re-drawn after the text?  For
example, setting the prompt as:

PS1='\n\[\e[0m\e[K\]'

and repeating the above puts point in the middle of a blank line.

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