Level of detail when reviewing a PhD thesis - very picky (draft) reviewer
This type of question doesn't have a single correct answer, but many different approaches. To that extent, here's what I would do.

There's two ways to go here: the difficult one, where you try to fight back, and the easy one, where you just make the corrections. Given that (a) this is a thesis, not a publication, making it essentially a single-purpose document unlikely to be referenced again in the future, and (b) the completion of the thesis is entirely dependent on this picky advisor saying that it's complete, I would DEFINITELY recommend just making the corrections.

Stated differently: choosing to fight this will likely cause far more damage than choosing not to fight.

Only caveat to the above is to only let this happen once or maybe twice per section. I.e., if this goes on for two rounds—i.e., if you make all his changes, and then he gives you another redlined document, where he essentially edits most of his own edits—then you're in infinite editing purgatory, and you'll have to work with him to figure out how to break the cycle and agree it's just good enough.