diff --git a/crates/agent/src/context_strip.rs b/crates/agent/src/context_strip.rs
index 8fe1a21d74..f28e61aa82 100644
--- a/crates/agent/src/context_strip.rs
+++ b/crates/agent/src/context_strip.rs
@@ -84,6 +84,12 @@ impl ContextStrip {
         }
     }
 
+    /// Whether or not the context strip has items to display
+    pub fn has_context_items(&self, cx: &App) -> bool {
+        self.context_store.read(cx).context().next().is_some()
+            || self.suggested_context(cx).is_some()
+    }
+
     fn added_contexts(&self, cx: &App) -> Vec<AddedContext> {
         if let Some(workspace) = self.workspace.upgrade() {
             let project = workspace.read(cx).project().read(cx);
@@ -104,14 +110,14 @@ impl ContextStrip {
         }
     }
 
-    fn suggested_context(&self, cx: &Context<Self>) -> Option<SuggestedContext> {
+    fn suggested_context(&self, cx: &App) -> Option<SuggestedContext> {
         match self.suggest_context_kind {
             SuggestContextKind::File => self.suggested_file(cx),
             SuggestContextKind::Thread => self.suggested_thread(cx),
         }
     }
 
-    fn suggested_file(&self, cx: &Context<Self>) -> Option<SuggestedContext> {
+    fn suggested_file(&self, cx: &App) -> Option<SuggestedContext> {
         let workspace = self.workspace.upgrade()?;
         let active_item = workspace.read(cx).active_item(cx)?;
 
@@ -138,7 +144,7 @@ impl ContextStrip {
         })
     }
 
-    fn suggested_thread(&self, cx: &Context<Self>) -> Option<SuggestedContext> {
+    fn suggested_thread(&self, cx: &App) -> Option<SuggestedContext> {
         if !self.context_picker.read(cx).allow_threads() {
             return None;
         }
diff --git a/crates/agent/src/inline_prompt_editor.rs b/crates/agent/src/inline_prompt_editor.rs
index 9ccc265509..693786ca07 100644
--- a/crates/agent/src/inline_prompt_editor.rs
+++ b/crates/agent/src/inline_prompt_editor.rs
@@ -451,7 +451,7 @@ impl<T: 'static> PromptEditor<T> {
                     editor.move_to_end(&Default::default(), window, cx)
                 });
             }
-        } else {
+        } else if self.context_strip.read(cx).has_context_items(cx) {
             self.context_strip.focus_handle(cx).focus(window);
         }
     }
diff --git a/crates/agent/src/message_editor.rs b/crates/agent/src/message_editor.rs
index adaaa8e39a..b5133bc4fb 100644
--- a/crates/agent/src/message_editor.rs
+++ b/crates/agent/src/message_editor.rs
@@ -401,7 +401,7 @@ impl MessageEditor {
     fn move_up(&mut self, _: &MoveUp, window: &mut Window, cx: &mut Context<Self>) {
         if self.context_picker_menu_handle.is_deployed() {
             cx.propagate();
-        } else {
+        } else if self.context_strip.read(cx).has_context_items(cx) {
             self.context_strip.focus_handle(cx).focus(window);
         }
     }