In the built-in Cursor terminal, you can press Ctrl/⌘ K to open a prompt bar on the bottom of the terminal. This prompt bar allows you to describe your desired action in the terminal, and terminal Cmd K will generate a command. You can accept the command by hitting esc or run the command immediately with Ctrl/⌘ + Enter.

By default, Terminal Cmd K sees your recent terminal history, your instructions, and anything else you put in the prompt bar as context.