Xavier seems to be losing a layer of skin, kind of like after a sunburn and the skin peels. Some of the newly exposed skin in his genital area looks very sore (red and moist in parts).
I noticed it on his hands and feet at birth but has spread to face, belly and genitals in the last 2 days.

I have a few questions, has anyone experienced this before with their newborn? Does it take long to clear up?

And... I plan on giving him olive oil baths to help clear up the dry skin but I read that having a powdered milk bath is also good to moisturize. Is it okay to let a newborn soak in a powdered milk bath or could it pose an allergy risk?