Green’s Dictionary of Slang

(US black) excellent, first-rate.

1939		R. Chandler ‘Pearls Are a Nuisance’ in Spanish Blood (1946) 105: I would say something like that could get around the poolrooms and start a little idle chatter. So far, so nutty.
1955		S. Allen Bop Fables 42: ‘Nutty,’ said the wolf. ‘Fall in.’.
1963		M. Braly Shake Him Till He Rattles (1964) 104: ‘You know a drummer?’ ‘How about Koehler?’ ‘Nutty! Can you bring him in?’.
1967		L. Bruce Essential Lenny Bruce 297: She’s got a pretty face, nutty jugs.