Smart. You forget he was categorizing Great Art when he "dismissed" what he thinks (as a romantic and existentialist christian) is not the highest of the highest caliber. He was being very selective, even omitting his own oeuvre.
As one who idolized the peasant and trusted the peasant's artistic sensibilities over those of the most refined intellectual, he yet thinks the plebeianism of Shakespeare (part of what makes Shakespeare so great) is not worthy of Great Art; which tells of his sobriety in categorizing Great Art.