I found this amazing tutorial here (http://www.beingspiffy.com/blog/hoot-the-owl-newborn-crochet-hat-pattern.html). I would love to whip one of these adorable hats for your newborn - I can also adapt it to fit any size child to adult as well! You color choice too of course.
On my 2T model who refuses to look at the camera... :-)
www.facebook.com/kidsknithats
www.etsy.com/shop/kidsknithats