This may be a silly question, but it appears the use of \AutoDroppedCaps (or \DroppedCaps) causes indenting settings to do away. For example: ======================== \AutoDroppedCaps \setupwhitespace[none] \setupinterlinespace[small] \setupindenting[medium] \indenting[yes] \starttext Para 1 blah blah blah para 1 blah blah blah para 1 blah blah blah para 1 blah blah blah para 1 blah blah blah para blah blah blah para 1 blah blah blah para 1 blah blah blah para 1 blah blah blah Para 2 blah blah blah para 2 blah blah blah para 2 blah blah blah para 2 blah blah blah para 2 blah blah blah para 2 blah blah blah para 2 blah blah blah para 2 blah blah blah para 2 blah blah blah para 2 blah blah blah Para 3 blah blah blah para 3 blah blah blah para 3 blah blah blah para 3 blah blah blah para 3 blah blah blah para 3 blah blah blah para 3 blah blah blah para 3 blah blah blah para 3 blah blah blah \stoptext ========================= Without \AutoDroppedCaps each paragraph is indented as expected. With \AutoDroppedCaps, none of the paragraphs are indented. If \AutoDroppedCaps is enabled, if I place \indenting[yes] immediately after the first word of the first paragraph (so it looks like "Para \indenting[yes] 1"), then the 3rd paragraph is indented, but the second one is still flush-left. Any ideas? Thanks, -joshua