'349 vs. 360' Thought...
I see what you are trying to do but it is going to cost you some money in machine work to turn the crank down that much. Also those cranks have been know to have the oil holes move outward too much when turned down to 318 mains. Your thinking that a 318 will rev faster then a 360 is not really accurate. The only difference between your 318 and a 360 is bore size. One last thing you have to worry about is finding a piston. With the increased stroke your going to push the piston up half the amount of increased stroke(.135). You may get lucky and find a piston with a lower compression height but don't bank on it. All in it can be done and it's a good idea.