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Why shouldn't he be?

Gandalf and the rest of the Wizards were sent from the Far West on order of the Valar to assist Elves, Men, Dwarves, Hobbits, Ents, etc. in fighting Sauron. The only Wizard to fail in this mission was Saruman. He would be required to be nice to them as part of his task.

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And specifically he felt the need to do something about Smaug.

I would not use the words nice or required. He was there to help but was able to determine what that meant himself. As noted above Saruman was able to make his own decisions, as was Radagast. The two 'blue' wizards disappeared into eastern middle-earth. All helped in the ways they saw fit.

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12y ago
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11y ago

Because he's a Baggins and Bag End.

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Q: Why is Gandalf nice to the dwarves and Bilbo?
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