The context is: "Santato wasn't spinning fairy tales.".
It means "fantasy"?
Thank you in advance!
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Sign up to join this communityHere's my totally off-the-top-of-my-head, unresearched answer: "Spinning" a fairy tale basically means to tell a story you are making up as you go along. I believe this comes from the fact that the word "yarn" is sometimes used as a colloquialism for "fictional story". Yarn is made through a process called spinning, and so when you are telling a story you are "spinning a yarn". I think the verb "spinning" has oozed out of that construction and is sometimes now used on its own to refer to the telling of a story.
From The Free Dictionary, spin:
"to produce, fabricate, or evolve in a manner suggestive of spinning thread: to spin a tale."
I believe this is the meaning here. It could be restated as:
Santato wasn't just imagining [and telling] fairy tales [but was telling the truth].