Comment 3 for bug 1387805

127.0.0.1 inside the container isn't the same as 127.0.0.1 inside the container.

I'm OK calling this a container misconfiguration.

I've not tried, but try setting dnsmasq to bind to the docker0 interface (likely bind to 172.17.42.1) and hit that IP.

Otherwise you're hitting 127.0.0.1 in the container, which isn't what you want (or where dnsmasq is bound)

This is part of network namespacing.

Closing the ticket, thanks!