My favorite baby knitting book is back in the shop! All You Knit is Love is chock full of sweet little things that will make you want to cast on a project for every unsuspecting baby you see. I have knit Gry's Jakke three times, I think? No, wait, four times. Here's the most recent one.
And we cannot forget the Balloon Pants of 2013. Must find another baby who can rock this look.
This is the best book, with projects for a range of time commitment and knitting ability. If you like to knit for babies, you should pop in and take a look!