diff --git a/PadIO/ContextObserver.swift b/PadIO/ContextObserver.swift
new file mode 100644
index 0000000..8ab0f24
--- /dev/null
+++ b/PadIO/ContextObserver.swift
@@ -0,0 +1,119 @@
+//
+//  ContextObserver.swift
+//  PadIO
+//
+//  Watches ~/.config/padio/context — a single-token text file written by an
+//  external producer (e.g. the herdr bridge) to tell PadIO which app is in the
+//  focused pane. Publishes the trimmed token; mapping it to a mode lives in
+//  ControllerManager. Models the same DispatchSource pattern as AppObserver /
+//  ConfigLoader, but re-arms on rename/delete so atomic replaces keep firing.
+
+import Foundation
+import Combine
+
+@MainActor
+final class ContextObserver: ObservableObject {
+    /// Current context token, or nil when the file is missing or empty.
+    @Published private(set) var context: String? = nil
+
+    static let contextPath: String = {
+        let home = FileManager.default.homeDirectoryForCurrentUser.path
+        return "\(home)/.config/padio/context"
+    }()
+
+    private static let directoryPath: String = (contextPath as NSString).deletingLastPathComponent
+
+    private var fileMonitorSource: DispatchSourceFileSystemObject?
+    private var directoryMonitorSource: DispatchSourceFileSystemObject?
+
+    init() {
+        loadContext()
+        // The directory monitor catches the file being created, deleted, or atomically
+        // replaced (temp file + rename, the producer contract). The file monitor catches
+        // in-place writes. Together they cover every way the token can change.
+        setupDirectoryMonitor()
+        setupFileMonitor()
+    }
+
+    deinit {
+        fileMonitorSource?.cancel()
+        directoryMonitorSource?.cancel()
+    }
+
+    // MARK: - Load
+
+    private func loadContext() {
+        let path = Self.contextPath
+        // Missing or unreadable file means "no context" — not an error. The bridge may
+        // not be running, and PadIO must behave exactly as it does with no file present.
+        guard let data = try? Data(contentsOf: URL(fileURLWithPath: path)),
+              let raw = String(data: data, encoding: .utf8) else {
+            updateContext(nil)
+            return
+        }
+        let trimmed = raw.trimmingCharacters(in: .whitespacesAndNewlines)
+        updateContext(trimmed.isEmpty ? nil : trimmed)
+    }
+
+    /// Publishes a new token only when it actually changed (dedupe on the read side).
+    private func updateContext(_ newValue: String?) {
+        guard newValue != context else { return }
+        context = newValue
+        print("[PadIO] Context: \(newValue ?? "nil")")
+    }
+
+    // MARK: - Directory monitor
+
+    /// Watches the parent directory so a context file created *after* launch is picked up,
+    /// and so atomic replaces (rename into the directory) are observed.
+    private func setupDirectoryMonitor() {
+        let fd = open(Self.directoryPath, O_EVTONLY)
+        guard fd >= 0 else { return }
+
+        let source = DispatchSource.makeFileSystemObjectSource(
+            fileDescriptor: fd,
+            eventMask: [.write],
+            queue: .main
+        )
+        source.setEventHandler { [weak self] in
+            MainActor.assumeIsolated {
+                guard let self else { return }
+                self.loadContext()
+                // The file may have just appeared or been replaced — (re)establish its watch.
+                self.setupFileMonitor()
+            }
+        }
+        source.setCancelHandler { close(fd) }
+        source.resume()
+        directoryMonitorSource = source
+    }
+
+    // MARK: - File monitor (re-armed on rename/delete)
+
+    /// Watches the context file itself for in-place writes. The fd goes stale after an
+    /// atomic replace or delete, so the handler cancels and re-establishes the source.
+    private func setupFileMonitor() {
+        fileMonitorSource?.cancel()
+        fileMonitorSource = nil
+
+        // File may not exist yet; the directory monitor will re-arm this once it appears.
+        let fd = open(Self.contextPath, O_EVTONLY)
+        guard fd >= 0 else { return }
+
+        let source = DispatchSource.makeFileSystemObjectSource(
+            fileDescriptor: fd,
+            eventMask: [.write, .rename, .delete],
+            queue: .main
+        )
+        source.setEventHandler { [weak self] in
+            MainActor.assumeIsolated {
+                guard let self else { return }
+                self.loadContext()
+                self.setupFileMonitor()
+            }
+        }
+        source.setCancelHandler { close(fd) }
+        source.resume()
+        fileMonitorSource = source
+    }
+}
diff --git a/PadIO/ControllerManager.swift b/PadIO/ControllerManager.swift
index a7539e0..9e808cb 100644
--- a/PadIO/ControllerManager.swift
+++ b/PadIO/ControllerManager.swift
@@ -20,6 +20,7 @@ final class ControllerManager: ObservableObject {
 
     let appObserver           = AppObserver()
     let configLoader          = ConfigLoader()
+    let contextObserver       = ContextObserver()
     let accessibilityPermission = AccessibilityPermission()
 
     private let inputHandler    = InputHandler()
@@ -62,6 +63,21 @@ final class ControllerManager: ObservableObject {
                 )
             }
             .store(in: &cancellables)
+
+        // React to the external context token (e.g. the herdr bridge reporting the app
+        // in the focused pane). Mapping the token to a mode is handled in #9; for now
+        // this just surfaces the transport working.
+        contextObserver.$context
+            .sink { [weak self] token in self?.applyContext(token) }
+            .store(in: &cancellables)
+    }
+
+    // MARK: - External context
+
+    /// Reacts to a change in the external context token. Transport only for now —
+    /// context_modes resolution is added in a follow-up.
+    private func applyContext(_ token: String?) {
+        print("[PadIO] Context token: \(token ?? "nil")")
     }
 
     // MARK: - Profile resolution