M365 Chat can only select from certain files, no searching

That is what I have found as well. I've also tried pasting the OneDrive link to a file I wanted to summarize only for it to tell me that it either cannot find the file, or it returns information about a completely different file altogether and then asks me if it was the correct file. Very strange behavior.

When I paste the file to a local folder on my PC, it tells me it cannot summarize local files and that they have to be on OneDrive. Clicking the paperclip icon only yields the short list of files as you have seen. Even if I open the file and then go back to teams and refresh the chat, the file doesn't appear there. 

So far, Copilot has been less than helpful in most of the Office-related tasks I've used it for and I am questioning the spend for the Pro license now.