diff --git a/packages/app/src/components/agent-input-area.tsx b/packages/app/src/components/agent-input-area.tsx
index c01a2e379..4d0e8857c 100644
--- a/packages/app/src/components/agent-input-area.tsx
+++ b/packages/app/src/components/agent-input-area.tsx
@@ -642,50 +642,54 @@ export function AgentInputArea({
             </View>
           )}
 
-          {/* Command autocomplete dropdown */}
-          {autocomplete.isVisible && (
-            <Autocomplete
-              options={autocomplete.options}
-              selectedIndex={autocomplete.selectedIndex}
-              isLoading={autocomplete.isLoading}
-              errorMessage={autocomplete.errorMessage}
-              loadingText={autocomplete.loadingText}
-              emptyText={autocomplete.emptyText}
-              onSelect={autocomplete.onSelectOption}
-            />
-          )}
-
           {sendError && <Text style={styles.sendErrorText}>{sendError}</Text>}
 
-          {/* MessageInput handles everything: text, dictation, attachments, all buttons */}
-          <MessageInput
-            ref={messageInputRef}
-            value={userInput}
-            onChangeText={setUserInput}
-            onSubmit={handleSubmit}
-            isSubmitDisabled={isProcessing || isSubmitLoading}
-            isSubmitLoading={isProcessing || isSubmitLoading}
-            images={selectedImages}
-            onPickImages={handlePickImage}
-            onAddImages={addImages}
-            onRemoveImage={handleRemoveImage}
-            client={client}
-            placeholder="Message agent..."
-            autoFocus={autoFocus}
-            disabled={isSubmitLoading}
-            isScreenFocused={isScreenFocused}
-            leftContent={leftContent}
-            rightContent={rightContent}
-            voiceServerId={serverId}
-            voiceAgentId={agentId}
-            isAgentRunning={isAgentRunning}
-            onQueue={handleQueue}
-            onSubmitLoadingPress={isAgentRunning ? handleCancelAgent : undefined}
-            onKeyPress={handleCommandKeyPress}
-            onSelectionChange={(selection) => {
-              setCursorIndex(selection.start)
-            }}
-          />
+          <View style={styles.messageInputContainer}>
+            {/* Command + file mention autocomplete rendered as a true popover */}
+            {autocomplete.isVisible && (
+              <View style={styles.autocompletePopover} pointerEvents="box-none">
+                <Autocomplete
+                  options={autocomplete.options}
+                  selectedIndex={autocomplete.selectedIndex}
+                  isLoading={autocomplete.isLoading}
+                  errorMessage={autocomplete.errorMessage}
+                  loadingText={autocomplete.loadingText}
+                  emptyText={autocomplete.emptyText}
+                  onSelect={autocomplete.onSelectOption}
+                />
+              </View>
+            )}
+
+            {/* MessageInput handles everything: text, dictation, attachments, all buttons */}
+            <MessageInput
+              ref={messageInputRef}
+              value={userInput}
+              onChangeText={setUserInput}
+              onSubmit={handleSubmit}
+              isSubmitDisabled={isProcessing || isSubmitLoading}
+              isSubmitLoading={isProcessing || isSubmitLoading}
+              images={selectedImages}
+              onPickImages={handlePickImage}
+              onAddImages={addImages}
+              onRemoveImage={handleRemoveImage}
+              client={client}
+              placeholder="Message agent..."
+              autoFocus={autoFocus}
+              disabled={isSubmitLoading}
+              isScreenFocused={isScreenFocused}
+              leftContent={leftContent}
+              rightContent={rightContent}
+              voiceServerId={serverId}
+              voiceAgentId={agentId}
+              isAgentRunning={isAgentRunning}
+              onQueue={handleQueue}
+              onSubmitLoadingPress={isAgentRunning ? handleCancelAgent : undefined}
+              onKeyPress={handleCommandKeyPress}
+              onSelectionChange={(selection) => {
+                setCursorIndex(selection.start)
+              }}
+            />
+          </View>
         </View>
       </View>
     </Animated.View>
@@ -709,7 +713,7 @@ const styles = StyleSheet.create(((theme: Theme) => ({
     marginHorizontal: 'auto',
     alignItems: 'center',
     width: '100%',
-    overflow: 'hidden',
+    overflow: 'visible',
     padding: theme.spacing[4],
   },
   inputAreaContent: {
@@ -717,6 +721,18 @@ const styles = StyleSheet.create(((theme: Theme) => ({
     maxWidth: MAX_CONTENT_WIDTH,
     gap: theme.spacing[3],
   },
+  messageInputContainer: {
+    position: 'relative',
+    width: '100%',
+  },
+  autocompletePopover: {
+    position: 'absolute',
+    left: 0,
+    right: 0,
+    bottom: '100%',
+    marginBottom: theme.spacing[3],
+    zIndex: 30,
+  },
   cancelButton: {
     width: 34,
     height: 34,
diff --git a/packages/app/src/components/ui/autocomplete.tsx b/packages/app/src/components/ui/autocomplete.tsx
index 43d038628..e501cabbe 100644
--- a/packages/app/src/components/ui/autocomplete.tsx
+++ b/packages/app/src/components/ui/autocomplete.tsx
@@ -24,6 +24,16 @@ interface AutocompleteProps {
   maxHeight?: number
 }
 
+const BOLT_GLYPH_PATTERN = /[\u26A1\uFE0F]/g
+
+function removeBoltGlyphs(value?: string): string | undefined {
+  if (!value) {
+    return value
+  }
+  const cleaned = value.replace(BOLT_GLYPH_PATTERN, '').trim()
+  return cleaned.length > 0 ? cleaned : undefined
+}
+
 export function Autocomplete({
   options,
   selectedIndex,
@@ -156,6 +166,9 @@ export function Autocomplete({
       >
         {options.map((option, index) => {
           const isSelected = index === selectedIndex
+          const optionLabel = removeBoltGlyphs(option.label) ?? option.label
+          const optionDetail = removeBoltGlyphs(option.detail)
+          const optionDescription = removeBoltGlyphs(option.description)
           return (
             <Pressable
               key={option.id}
@@ -177,12 +190,12 @@ export function Autocomplete({
               ) : null}
               <View style={styles.itemMain}>
                 <View style={styles.itemHeader}>
-                  <Text style={styles.itemLabel}>{option.label}</Text>
-                  {option.detail ? <Text style={styles.itemDetail}>{option.detail}</Text> : null}
+                  <Text style={styles.itemLabel}>{optionLabel}</Text>
+                  {optionDetail ? <Text style={styles.itemDetail}>{optionDetail}</Text> : null}
                 </View>
-                {option.description ? (
+                {optionDescription ? (
                   <Text style={styles.itemDescription} numberOfLines={1}>
-                    {option.description}
+                    {optionDescription}
                   </Text>
                 ) : null}
               </View>
@@ -237,7 +250,7 @@ const styles = StyleSheet.create(((theme: Theme) => ({
   itemLabel: {
     color: theme.colors.foreground,
     fontSize: theme.fontSize.sm,
-    fontWeight: theme.fontWeight.medium,
+    fontWeight: theme.fontWeight.normal,
   },
   itemDetail: {
     color: theme.colors.foregroundMuted,
diff --git a/packages/app/src/hooks/use-agent-autocomplete.ts b/packages/app/src/hooks/use-agent-autocomplete.ts
index 90552e93f..e9d72abd3 100644
--- a/packages/app/src/hooks/use-agent-autocomplete.ts
+++ b/packages/app/src/hooks/use-agent-autocomplete.ts
@@ -1,5 +1,5 @@
 import { useCallback, useMemo } from 'react'
-import { useQuery } from '@tanstack/react-query'
+import { keepPreviousData, useQuery } from '@tanstack/react-query'
 import type { AutocompleteOption } from '@/components/ui/autocomplete'
 import { useAgentCommandsQuery, type DraftCommandConfig } from './use-agent-commands-query'
 import { orderAutocompleteOptions } from '@/components/ui/autocomplete-utils'
@@ -192,6 +192,7 @@ export function useAgentAutocomplete(input: UseAgentAutocompleteInput): AgentAut
       isConnected,
     retry: false,
     staleTime: 15_000,
+    placeholderData: keepPreviousData,
   })
 
   const options = useMemo<AgentAutocompleteOption[]>(() => {
@@ -214,11 +215,11 @@ export function useAgentAutocomplete(input: UseAgentAutocompleteInput): AgentAut
     }
 
     if (mode === 'file' && activeFileMention) {
-      return (fileSuggestionsQuery.data ?? []).map((entry) => ({
+      const orderedEntries = orderAutocompleteOptions(fileSuggestionsQuery.data ?? [])
+      return orderedEntries.map((entry) => ({
         type: 'workspace_entry' as const,
         id: `${entry.kind}:${entry.path}`,
         label: entry.path,
-        detail: entry.kind === 'directory' ? 'Directory' : 'File',
         kind: entry.kind,
         entryPath: entry.path,
         mention: activeFileMention,
@@ -260,7 +261,7 @@ export function useAgentAutocomplete(input: UseAgentAutocompleteInput): AgentAut
     mode === 'command'
       ? isCommandsLoading
       : mode === 'file'
-        ? fileSuggestionsQuery.isPending || fileSuggestionsQuery.isLoading
+        ? fileSuggestionsQuery.isPending || (fileSuggestionsQuery.isLoading && options.length === 0)
         : false
   const errorMessage =
     mode === 'command'
diff --git a/packages/server/src/utils/directory-suggestions.test.ts b/packages/server/src/utils/directory-suggestions.test.ts
index 2177ee17b..09a9104b7 100644
--- a/packages/server/src/utils/directory-suggestions.test.ts
+++ b/packages/server/src/utils/directory-suggestions.test.ts
@@ -234,4 +234,33 @@ describe('searchWorkspaceEntries', () => {
     })
     expect(escapedResults.some((entry) => entry.path.includes('escaped-link'))).toBe(false)
   })
+
+  it('ignores node_modules entries so deep workspace files still resolve under scan limits', async () => {
+    mkdirSync(path.join(workspaceDir, 'packages', 'app', 'src', 'app'), { recursive: true })
+    writeFileSync(path.join(workspaceDir, 'packages', 'app', 'src', 'app', '_layout.tsx'), '')
+
+    for (let index = 0; index < 120; index += 1) {
+      mkdirSync(path.join(workspaceDir, 'node_modules', `pkg-${index}`), { recursive: true })
+      writeFileSync(
+        path.join(workspaceDir, 'node_modules', `pkg-${index}`, 'index.js'),
+        'module.exports = {};\n'
+      )
+    }
+    writeFileSync(path.join(workspaceDir, 'node_modules', '_layout.tsx'), '')
+
+    const results = await searchWorkspaceEntries({
+      cwd: workspaceDir,
+      query: '_layout.tsx',
+      limit: 20,
+      includeFiles: true,
+      includeDirectories: true,
+      maxEntriesScanned: 60,
+    })
+
+    expect(results).toContainEqual({
+      path: 'packages/app/src/app/_layout.tsx',
+      kind: 'file',
+    })
+    expect(results.some((entry) => entry.path.startsWith('node_modules/'))).toBe(false)
+  })
 })
diff --git a/packages/server/src/utils/directory-suggestions.ts b/packages/server/src/utils/directory-suggestions.ts
index 2298e28b6..c2ad7d354 100644
--- a/packages/server/src/utils/directory-suggestions.ts
+++ b/packages/server/src/utils/directory-suggestions.ts
@@ -73,6 +73,7 @@ const directoryListCache = new Map<string, DirectoryListCacheEntry>()
 const workspaceEntryListCache = new Map<string, WorkspaceEntryListCacheEntry>()
 const NO_SEGMENT_INDEX = Number.MAX_SAFE_INTEGER
 const NO_MATCH_OFFSET = Number.MAX_SAFE_INTEGER
+const WORKSPACE_IGNORED_DIRECTORY_NAMES = new Set(['node_modules'])
 
 export async function searchHomeDirectories(
   options: SearchHomeDirectoriesOptions
@@ -750,6 +751,9 @@ async function listWorkspaceChildEntries(input: {
     if (isHiddenDirectoryName(dirent.name)) {
       continue
     }
+    if (isIgnoredWorkspaceDirectoryName(dirent.name)) {
+      continue
+    }
 
     const candidatePath = path.join(input.directory, dirent.name)
     const entry = await resolveWorkspaceCandidate({
@@ -839,6 +843,10 @@ function isHiddenDirectoryName(name: string): boolean {
   return name.startsWith('.')
 }
 
+function isIgnoredWorkspaceDirectoryName(name: string): boolean {
+  return WORKSPACE_IGNORED_DIRECTORY_NAMES.has(name)
+}
+
 function setDirectoryListCache(cacheKey: string, entry: DirectoryListCacheEntry): void {
   directoryListCache.set(cacheKey, entry)
   pruneDirectoryListCache()