''Cute'' can mean ''clever'', ''shrewd''. As in a shortened form of ''acute'' meaning ''astute''?
cute (kyut)
adj. cut•er, cut•est,
adv. adj.
1. attractive, esp. in a dainty way; pleasingly pretty.
2. charmingly attractive.
3. affectedly pretty or clever; precious.
4. mentally keen; clever; shrewd.