issue: watch not working as expected for nested components using useFormContext

[ksmith173]

Version Number

7.51.3

Codesandbox/Expo snack

https://codesandbox.io/p/sandbox/watch-test-kwvsn9

Steps to reproduce

1. Load code sandbox
2. Note how "One is selected" is not visible under the drop down on page load.
3. Change package.json version of react-hook-forms to 7.50.1 (or access this cloned with the version pre-set https://codesandbox.io/p/sandbox/watch-test-forked-rg2shh)
4. Note how "One is selected" IS visible under the drop down on page load

Expected behaviour

In version 7.50.1 and prior, the watch on a Controller wrapped input with its value set by setValue would trigger the form to re-render and show conditional items. After this version, this no longer happens.

The issue seems to be limited to nested components that are using useFormContext.

What browsers are you seeing the problem on?

Firefox, Chrome

Relevant log output

No response

Code of Conduct

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