Previously available at DIY Network (now only archived), This pattern is now available as Eyelet Hat at Stitches From the Heart

From Pattern Notes:

Knit a cap to warm a tiny newborn’s head.

From “Knitty Gritty” episode DKNG-402

“Baby Hat From Stitches From the Heart

Kathy Silverton, the founder of Stitches From the Heart, shares instructions to make one of her favorite tiny hats that she knits up for newborn babies.“