What does this PR do?

Fixes a silent failure in gateway/config.py where the entire config.yaml processing block (lines 411-517) is wrapped in except Exception: pass. Any YAML syntax error, file permission issue, or unexpected data shape is silently swallowed — users see no error and have no idea why their config changes have no effect.

Type of Change

• 🐛 Bug fix (non-breaking change that fixes an issue)

Changes Made

• gateway/config.py: Replaced bare except Exception: pass with except Exception as e: logger.warning(...) that logs:
  • That config.yaml processing failed
  • The config file path to check for syntax errors
  • The actual error message
  • That the gateway is falling back to .env / gateway.json values

No new imports needed — logger = logging.getLogger(__name__) was already defined at the top of the file.

How to Test

1. Introduce a syntax error in ~/.hermes/config.yaml (e.g. add a stray : or unbalanced quotes)
2. Start the gateway: hermes gateway
3. Check logs - you should now see a warning with the file path and error details
4. Run tests: python3 -m pytest tests/ -q

Checklist

Code

• I've read the Contributing Guide
• My commit messages follow Conventional Commits (fix(scope):, feat(scope):, etc.)
• I searched for existing PRs to make sure this isn't a duplicate
• My PR contains only changes related to this fix
• I've tested on my platform: Ubuntu 24.04 (WSL2)

Documentation & Housekeeping

• I've updated relevant documentation (README, docs/, docstrings) — or N/A
• I've updated cli-config.yaml.example if I added/changed config keys — or N/A
• I've updated CONTRIBUTING.md or AGENTS.md if I changed architecture or workflows — or N/A
• I've considered cross-platform impact (Windows, macOS) — or N/A
• I've updated tool descriptions/schemas if I changed tool behavior — or N/A

Screenshots / Logs

N/A — logging change, no UI impact.