AGENTS.md is created in wrong directory

What version of Codex is running?

codex-cli 0.36.0

Which model were you using?

gpt-5-codex

What platform is your computer?

Microsoft Windows NT 10.0.26100.0 x64

What steps can reproduce the bug?

Have a visual studio solutions folders with multiple projects
Go to one of the project
run codex in that project folder and call /init

What is the expected behavior?

AGENTS.md created in that project folder

What do you see instead?

It went to the parent folder (solution level)

Additional information

It also hallucinated thinking adding/editing file in another project folder