Pages document contents clipped when opening

I entered your exact text into a Rich Text formatted Text Edit document. I then selected that text, and with a click and hold, dragged that text clipping onto a new open Pages document. Just the drag/drop version of a copy/paste.

I also did this by releasing that Text Clipping onto my Desktop and using the Finder's Quick Look to view it just as you have done above, though because I used Rich Text and not plain text, the '#1' text survived.

Pages can open plain text or Rich Text documents (.e.g. .txt, .rtf), from the filesystem, but not Text Clippings whose file extension is .textClipping. Dragging and dropping the .textClipping file onto a Pages Dock icon will not work either.

Clipping is what one usually associates with an image, not a Pages document. A better description than "contents all clipped" and a posted screen shot here in a reply may get you further help.

Personally, I do not drag and drop text clippings to the filesystem as .textClipping files. I am equally divided whether I drag and drop a text clipping onto an open Pages document, or use the traditional copy/paste.

There is nothing to fear from using Pages — only of yourself using it as it was not designed… 🧐

See Pages User Guide for Mac - Apple Support