I voted that it dosent mean anything either way simply for the fact that with everydog it means something different. I have seen it when the dogs just get things going and need a little time to settle down but the majority of the time i have seen it in dog that are starting to quit. I believe i see it more when one dog is about to check out is because of the reason that wrknapbt mentioned. They are trying to scare off or intimidate the other dog.

@cajack the reason the oldtimer said it was a bad sign is because seeing the fuzz was usually followed by a quit.