I use Aquamacs to edit tex files on two different Mac machines. I really like some of Auctex's features, notably the way it formats in math mode to make things a bit easier to read. A few weeks ago I noticed that on my MacBook running Ventura, Auctex's fontification does not automatically start when I type a "$"; it only applies after I type the ending "$". I believe it wasn't always like this, and I find it pretty annoying. My iMac does not have the same issue. I tried doing a clean install of Aquamacs on the MacBook, and I still have the same issue. How can I fix this?

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IIRC, that change was necessary and can't be undone. You can try this bit of code in your init file:

(setq TeX-electric-math '("$" . "$"))

where the manual says:

If the variable is non-nil and you type $ outside math mode, AUCTeX will automatically insert the opening and closing symbols for an inline equation and put the point between them. The opening symbol will blink when blink-matching-paren is non-nil. If TeX-electric-math is nil, typing $ simply inserts $ at point, this is the default.

It should fix your point to some extent.

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