Question

The sequence goes like this:

Julia: [Dry joke]
Interlocutor: [Reacts as though sentiment expressed in joke was in fact earnestly intended]
Julia: Um, no, I meant [awkwardly explains joke]
Interlocutor: Oh, I see. You were being facetious.

In this context, does 'You were being facetious' mean anything other than 'I think you are a total tool'?

And further, if the interlocutor is himself a total tool, does this mean I am in fact incredibly awesome?