He was either scared or angry – that’s what a bushed tail means.
The fact that he went forward & attacked it meant he was either more angry than scared, and "fight" kicked in more than "flight".
I can’t imagine why he considered it a threat…
Suggestion: Get (or record) a CD of the sounds that scare him, then play them at a VERY low volume, barely above "can’t hear", for a couple of weeks, gradually upping the volume a touch at a time. (Remember: he can hear better than you.) Put the CD on "replay" for a few hours at a time, both when you’re home and away.
This may get him used to the sound and consider it just background eventually.
Re: Is Monty my hero?
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