Game Mechanics: Couple Faction Errors Ive Noticed

[Mouse]

So I'm a halfling druid of Karana (Mouse House in the House, holler)
and I've been farming on my brethren guards for a while which lowers pretty much all of the factions in Rivervale, including Merchants of Rivervale. By this time, they "could not possibly get worse." However, Im still warmly with all of the merchants, I have not seen any faction adjustment with them whatsoever.

Also, in the karanas, I'm glared at threateningly by the lions and lioness here.
Maybe I'm mistaken about this? But doesn't seem right.