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CLI/TUI sessions on the local backend now unconditionally use os.getcwd() as the working directory. The terminal.cwd config value is only consumed by gateway/cron/delegation modes (where there's no shell to cd from). Previously, 'hermes setup' would write an absolute path (e.g. $HOME) into terminal.cwd which then pinned the CLI to that directory regardless of where the user launched hermes from. This was a silent foot-gun — the user's 'cd' was being ignored. Changes: 1. cli.py: Restructured CWD resolution — if TERMINAL_CWD is not already set by the gateway, and the backend is local, always use os.getcwd(). Config terminal.cwd is irrelevant for interactive CLI/TUI sessions. 2. setup.py: Moved the cwd prompt from setup_terminal_backend() to setup_gateway(). It now only appears when configuring messaging platforms and is labeled 'Gateway working directory'. 3. Tests: Rewrote test_cwd_env_respect.py to validate the new behavior: explicit config paths are ignored for CLI, gateway pre-set values are preserved, non-local backends keep their config paths. 4. Docs: Updated configuration.md, profiles.md, and environment-variables.md to clarify that terminal.cwd only affects gateway/cron mode on local backend. Closes #19214