It is my understanding that the batter must make some indication that he intended to hit or bunt the ball, even if it is only partially squaring to bunt. There does NOT have to be contact for interference to occur, just preventing the opportunity to swing applies.
If the batter stands there and completely gives up his opportunity to swing or bunt, no interference has occured.
The umpire in your play may have seen the batter posed as if to bunt.
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