diff --git a/packages/app/src/components/agent-status-bar.model-loading.test.ts b/packages/app/src/components/agent-status-bar.model-loading.test.ts
new file mode 100644
index 000000000..d75714a85
--- /dev/null
+++ b/packages/app/src/components/agent-status-bar.model-loading.test.ts
@@ -0,0 +1,31 @@
+import { QueryClient, QueryObserver } from "@tanstack/react-query";
+import { describe, expect, it } from "vitest";
+
+import { isProviderModelsQueryLoading } from "./agent-status-bar.model-loading";
+
+describe("isProviderModelsQueryLoading", () => {
+  it("does not treat a disabled pending query as loading", () => {
+    const queryClient = new QueryClient();
+    const observer = new QueryObserver(queryClient, {
+      queryKey: ["providerModels", "server-1", "__missing_provider__"],
+      enabled: false,
+      queryFn: async () => [],
+    });
+
+    const result = observer.getCurrentResult();
+
+    expect(result.isPending).toBe(true);
+    expect(result.isLoading).toBe(false);
+    expect(result.isFetching).toBe(false);
+    expect(isProviderModelsQueryLoading(result)).toBe(false);
+  });
+
+  it("treats an active fetch as loading", () => {
+    expect(
+      isProviderModelsQueryLoading({
+        isLoading: false,
+        isFetching: true,
+      }),
+    ).toBe(true);
+  });
+});
diff --git a/packages/app/src/components/agent-status-bar.model-loading.ts b/packages/app/src/components/agent-status-bar.model-loading.ts
new file mode 100644
index 000000000..b8673e6f4
--- /dev/null
+++ b/packages/app/src/components/agent-status-bar.model-loading.ts
@@ -0,0 +1,8 @@
+interface ProviderModelsQueryState {
+  isFetching: boolean;
+  isLoading: boolean;
+}
+
+export function isProviderModelsQueryLoading(input: ProviderModelsQueryState): boolean {
+  return input.isLoading || input.isFetching;
+}
diff --git a/packages/app/src/components/agent-status-bar.tsx b/packages/app/src/components/agent-status-bar.tsx
index fbefa2f45..d15f3aea9 100644
--- a/packages/app/src/components/agent-status-bar.tsx
+++ b/packages/app/src/components/agent-status-bar.tsx
@@ -33,6 +33,7 @@ import {
   getStatusSelectorHint,
   resolveAgentModelSelection,
 } from "@/components/agent-status-bar.utils";
+import { isProviderModelsQueryLoading } from "@/components/agent-status-bar.model-loading";
 
 type StatusOption = {
   id: string;
@@ -634,12 +635,7 @@ export function AgentStatusBar({ agentId, serverId }: AgentStatusBarProps) {
   const client = useSessionStore((state) => state.sessions[serverId]?.client ?? null);
 
   const modelsQuery = useQuery({
-    queryKey: [
-      "providerModels",
-      serverId,
-      agent?.provider ?? "__missing_provider__",
-      agent?.cwd ?? "__missing_cwd__",
-    ],
+    queryKey: ["providerModels", serverId, agent?.provider ?? "__missing_provider__"],
     enabled: Boolean(client && agent?.provider),
     staleTime: 5 * 60 * 1000,
     queryFn: async () => {
@@ -753,7 +749,7 @@ export function AgentStatusBar({ agentId, serverId }: AgentStatusBarProps) {
           console.warn("[AgentStatusBar] setAgentThinkingOption failed", error);
         });
       }}
-      isModelLoading={modelsQuery.isPending || modelsQuery.isFetching}
+      isModelLoading={isProviderModelsQueryLoading(modelsQuery)}
       disabled={!client}
     />
   );
diff --git a/packages/app/src/hooks/use-agent-form-state.ts b/packages/app/src/hooks/use-agent-form-state.ts
index 7a783b61e..bec3f0392 100644
--- a/packages/app/src/hooks/use-agent-form-state.ts
+++ b/packages/app/src/hooks/use-agent-form-state.ts
@@ -418,7 +418,7 @@ export function useAgentFormState(options: UseAgentFormStateOptions = {}): UseAg
   }, [formState.workingDir]);
 
   const providerModelsQuery = useQuery({
-    queryKey: ["providerModels", formState.serverId, formState.provider, debouncedCwd],
+    queryKey: ["providerModels", formState.serverId, formState.provider],
     enabled: Boolean(
       isVisible &&
         isTargetDaemonReady &&
@@ -446,7 +446,7 @@ export function useAgentFormState(options: UseAgentFormStateOptions = {}): UseAg
 
   const allProviderModelQueries = useQueries({
     queries: providerDefinitions.map((def) => ({
-      queryKey: ["providerModels", formState.serverId, def.id, debouncedCwd],
+      queryKey: ["providerModels", formState.serverId, def.id],
       enabled: Boolean(
         isVisible && isTargetDaemonReady && formState.serverId && client && isConnected,
       ),