md-select overlay not dismissed inside dialog

[chpasha]

Bug, feature request, or proposal:

bug

What is the expected behavior?

if you open md-select inside md-dialog component and click somewhere outside of md-select overlay (but inside of dialog itself), the md-select overlay should be closed and onClose event should be fired

What is the current behavior?

now if you click inside dialog outside of md-select overlay, overlay is not closed. but if you click outside dialog overlay, it is closed

What are the steps to reproduce?

http://plnkr.co/edit/oIJQsOZVt0aKRFPe9rde

actually it is never dismissed in plunker, and what is worse, the overlay of md-select is shown below dialog overlay. But in real world application I get the behaviour described above - md-select is dismissed when clicking outside overlay, but not if it is within dialog

Which versions of Angular, Material, OS, browsers are affected?

angular 2.2.4, material 2.0.0-alpha.11-3, ubuntu 14.04, Firefox 50.1, Chrome 55

[crisbeto]

Your Plunkr breaks because it's missing some CSS (e.g. the overlay isn't position: absolute), however there definitely is an issue with the backdrop not being over the dialog.

[fxck]

Yes, there needs to be a proper stacking manager.

#1584 (comment)

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