This is true in my experience but it doesn't go against my larger point. Choosing the "goldilocks" context is a bit of an art, not too big not too small. It reminds of a famous witty quote [1]: “I apologize for such a long letter - I didn't have time to write a short one.”
If you send too much info at once it does seem to confuse the agent, just like if you ask it to do too much all at once. That is yet another property it shares with a junior engineer. It is easy to overwhelm a new contributor to a project with too much information, especially if it isn't strictly relevant.