This is from a few years ago. They both stayed there, looking at each other, until Reggie (the neighbour cat, if in doubt...) decided it was best to leave. It was a really hot day, so I guess neither one of them were in the mood for conflict...
The foxes here are so well fed and chill most of the time that the cats have lost almost respect for them... They're still a bit cautious (which is good, because there certainly are incidents of foxes killing cats) but overall it's pretty peaceful.
Especially when it's hot and nobody wants to run around.