I am sure I sound like a broken record but I am still a big fan of the diagonal baby blanket in the project section of Joann's.com. You could easily use larger needles and start decreasing sooner. I have been told by several Mom's that I have made this blanket for that it the most functional, useful blanket they received.
http://www.joann.com/diagonal-knit-baby-blanket/xprd1025478/
http://www.joann.com/diagonal-knit-baby-blanket/xprd1025478/
