Originally Posted by Psychonaut
To be specific (and circumvent some of the objections to the fear/emotion aspect of your phrasing), it wasn't just that she didn't fear his power. Her exact words to Coyote were "You know I can take her if I wish."
Which would seem to indicate, at least, a belief on her part that Coyote would be incapable of stopping her once she decided on a course of action.
So I agree that she doesn't believe
that he can harm her. However, Tavar is correct in noting that this belief may be based on ignorance. She only has her experience to draw from when concluding that there is nothing in existence that can damage her or which (aside from herself) cannot be damaged by her. If a new material were to surface that was sharper or more durable than anything she had tested previously, she would not be able to know for certain in advance that it would not be able to damage her or that she would be able to damage it. So I don't think we can draw a solid conclusion either way about whether the tooth is capable of harming her.
The phrasing here is significant, though. It is not that she made an assertion that she can take Annie. It is that she said that Coyote knows that. And Coyote did not challenge the statement, which you would expect from an egotist of his caliber, especially when his powers are being questioned. Instead what he said can be seen as attempt to defuse the situation.
Also, "Are we getting into this again, wandering eye?" line indicates that this is not the first time that there was a conflict. So, while there is no way to tell for sure how far it went and if there was a physical confrontation, I am more inclined to believe that Jones has some evidence that she can't be damaged, or at least not damaged enough to lose the confrontation. She is not exactly a type of person that is given to bluffs and empty threats.