Wrap Query Loop Wont Add Element

I am trying to use the loop editor and when I set the wrap to query loop (turns pink) and I try adding an element it doesn't show in the editor. Dragging an item i.e. an image element into the wrap flashes a placeholder image, then it grays out and goes away. It shows there is an image in the navigator, but it is not there. It does this with any element I try adding to the wrap after I set it to query loop.

Thank you

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