Ahh! Because I was so busy yesterday, I forgot to give you the other half of that baby squid. Here it is!

The little blob being held in those tiny, adorable arms is a yolk sac. When they are inside the egg, squid embryos have both an internal yolk sac (inside the mantle) and an external yolk sac (held in the arms). They are supposed to use up the whole external yolk sac before they hatch--so this little guy hatched prematurely.