cygwin-64 2.3.1. bash fails when running under FSF emacs 24.5

I recently updated both cygwin (latest as of today)  and emacs from
ftp.gnu.org.

I am not able to run bash under emacs anymore.

I have no idea whether the issue is in cygwin or in Emacs as I have seen
similar symptoms reported on the cygwin list... but the symptom is not
present when running Emacs 24.4.

When I do emacs -q -nw , load the minimal code (basically from the FAQ):

;; from gnuemacs faq
(defun my-shell-setup ()
  "For Cygwin bash under Emacs 20"
  (setq comint-scroll-show-maximum-output 'this)
  (make-variable-buffer-local 'comint-completion-addsuffix))
(setq comint-completion-addsuffix t)
;; (setq comint-process-echoes t) ;; reported that this is no longer needed
(setq comint-eol-on-send t)
(setq w32-quote-process-args ?\")

(add-hook 'shell-mode-hook 'my-shell-setup)
(setq shell-file-name "bash")
(setenv "PID" nil)

Then M-x shell....
bash starts and works in 24.4
but fails in 25.1.
It fails when starting, then after a while a prompt is displayed, then I
try ls and fails again with similar messages about some stack issue...
then prompt comes.... then I did echo stuff and process dies....

FWIW, I m running Windows 10 (build 10586).

The  trace is below my signature....
Ask if you want me to provide more info or try something....

Thanks,

D.


############################
# Dominique de Waleffe
# ddewaleffe -at- gmail -dot- com
############################
Trace copied from *shell* buffer on emacs 24.5

bash: cannot set terminal process group (-1): Inappropriate ioctl for device
bash: no job control in this shell
      1 [main] bash 9588 c:\s\cygwin64\bin\bash.exe: *** fatal error in
forked process - fork: can't reserve memory for parent stack 0x600000 -
0x800000, (child has 0x400000 - 0x600000), Win32 error 487
   1115 [main] bash 9588 cygwin_exception::open_stackdumpfile: Dumping
stack trace to bash.exe.stackdump
      1 [main] bash 16396 fork: child -1 - forked process 9588 died
unexpectedly, retry 0, exit code 0x100, errno 11
bash: fork: retry: No child processes
1018684 [main] bash 14236 c:\s\cygwin64\bin\bash.exe: *** fatal error in
forked process - fork: can't reserve memory for parent stack 0x600000 -
0x800000, (child has 0x400000 - 0x600000), Win32 error 487
1019772 [main] bash 14236 cygwin_exception::open_stackdumpfile: Dumping
stack trace to bash.exe.stackdump
1157135 [main] bash 16396 fork: child -1 - forked process 14236 died
unexpectedly, retry 0, exit code 0x100, errno 11
bash: fork: retry: No child processes
3175445 [main] bash 15944 c:\s\cygwin64\bin\bash.exe: *** fatal error in
forked process - fork: can't reserve memory for parent stack 0x600000 -
0x800000, (child has 0x400000 - 0x600000), Win32 error 487
3176508 [main] bash 15944 cygwin_exception::open_stackdumpfile: Dumping
stack trace to bash.exe.stackdump
3339016 [main] bash 16396 fork: child -1 - forked process 15944 died
unexpectedly, retry 0, exit code 0x100, errno 11
bash: fork: retry: No child processes
7356718 [main] bash 15760 c:\s\cygwin64\bin\bash.exe: *** fatal error in
forked process - fork: can't reserve memory for parent stack 0x600000 -
0x800000, (child has 0x400000 - 0x600000), Win32 error 487
7357779 [main] bash 15760 cygwin_exception::open_stackdumpfile: Dumping
stack trace to bash.exe.stackdump
7490355 [main] bash 16396 fork: child -1 - forked process 15760 died
unexpectedly, retry 0, exit code 0x100, errno 11
bash: fork: retry: No child processes
15507820 [main] bash 15520 c:\s\cygwin64\bin\bash.exe: *** fatal error in
forked process - fork: can't reserve memory for parent stack 0x600000 -
0x800000, (child has 0x400000 - 0x600000), Win32 error 487
15509274 [main] bash 15520 cygwin_exception::open_stackdumpfile: Dumping
stack trace to bash.exe.stackdump
15627402 [main] bash 16396 fork: child -1 - forked process 15520 died
unexpectedly, retry 0, exit code 0x100, errno 11
bash: fork: Resource temporarily unavailable
]0;~
Dominique@ddw3800 ~
$ ls
1634473229 [main] bash 7496 c:\s\cygwin64\bin\bash.exe: *** fatal error in
forked process - fork: can't reserve memory for parent stack 0x600000 -
0x800000, (child has 0x400000 - 0x600000), Win32 error 487
1634474814 [main] bash 7496 cygwin_exception::open_stackdumpfile: Dumping
stack trace to bash.exe.stackdump
1634591816 [main] bash 16396 fork: child -1 - forked process 7496 died
unexpectedly, retry 0, exit code 0x100, errno 11
bash: fork: retry: No child processes
1635610400 [main] bash 12700 c:\s\cygwin64\bin\bash.exe: *** fatal error in
forked process - fork: can't reserve memory for parent stack 0x600000 -
0x800000, (child has 0x400000 - 0x600000), Win32 error 487
1635611575 [main] bash 12700 cygwin_exception::open_stackdumpfile: Dumping
stack trace to bash.exe.stackdump
1635789035 [main] bash 16396 fork: child -1 - forked process 12700 died
unexpectedly, retry 0, exit code 0x100, errno 11
bash: fork: retry: No child processes
1637807852 [main] bash 4064 c:\s\cygwin64\bin\bash.exe: *** fatal error in
forked process - fork: can't reserve memory for parent stack 0x600000 -
0x800000, (child has 0x400000 - 0x600000), Win32 error 487
1637809219 [main] bash 4064 cygwin_exception::open_stackdumpfile: Dumping
stack trace to bash.exe.stackdump
1637928062 [main] bash 16396 fork: child -1 - forked process 4064 died
unexpectedly, retry 0, exit code 0x100, errno 11
bash: fork: retry: No child processes
1641946517 [main] bash 15924 c:\s\cygwin64\bin\bash.exe: *** fatal error in
forked process - fork: can't reserve memory for parent stack 0x600000 -
0x800000, (child has 0x400000 - 0x600000), Win32 error 487
1641947778 [main] bash 15924 cygwin_exception::open_stackdumpfile: Dumping
stack trace to bash.exe.stackdump
1642118928 [main] bash 16396 fork: child -1 - forked process 15924 died
unexpectedly, retry 0, exit code 0x100, errno 11
bash: fork: retry: No child processes
1650137099 [main] bash 15756 c:\s\cygwin64\bin\bash.exe: *** fatal error in
forked process - fork: can't reserve memory for parent stack 0x600000 -
0x800000, (child has 0x400000 - 0x600000), Win32 error 487
1650138304 [main] bash 15756 cygwin_exception::open_stackdumpfile: Dumping
stack trace to bash.exe.stackdump
1650245522 [main] bash 16396 fork: child -1 - forked process 15756 died
unexpectedly, retry 0, exit code 0x100, errno 11
bash: fork: Resource temporarily unavailable
]0;~
Dominique@ddw3800 ~
$ echo stuff
stuff
1656643634 [main] bash 16396 cygwin_exception::open_stackdumpfile: Dumping
stack trace to bash.exe.stackdump

Process shell finished