Set up VSCode with SSO

I'm trying to authenticate to my AWS account via IAM Identity Center SSO through my VSCode using AWS Toolkit.

My account has the 'AdministratorAccess' policy tied to the permission set, and my user was assigned to this account.

I authenticate via VSCode's AWS Toolkit. In the top left, it says 'Connected with IAM Identity Center (Identity Store ID)'.

Right below, it shows 'Select IAM credentials to view resources'. Why is it asking this? Am I not supposed to be able to view the resources with my SSO access? I'm trying to follow AWS's security advice to stick with SSO access instead of long-term keys.