Materials –
2 - 50 gr balls Crystal Palace Merino Stripes Color #61 "Seascape" (Color A)
1- 50 gr ball Crystal Palace Fjord color #4889 "Teal Lake" (Color B)
Crystal Palace 26" Circular Bamboo or DAISY 29" Circular Needle US Size #11
and a set of Double Point Needles also in US Size #11
Tapestry needle
Purchased button or other closure hardware
4 stitch markers (PM = Place Marker in instructions)

Gauge – 3¼" stitches per inch, 13 sts/10 cm

Dimensions –
17" tall, 22" wide and 8½" deep at top/11" wide and 5" deep at bottom before felting. 10" tall, 9" wide at button, 3" deep at bottom after felting.

Begin top of bag –
With Color A and the circular needle, cast on 140 stitches and place markers as follows: Cast on 20, PM, cast on 50, PM, cast on 20, PM, cast on 50, PM. Join, being careful not to twist work, and begin knitting in the round. Work 10 rounds of stockinette stitch.
Note: When knitting Stockinette St in the round you will KNIT all sts since you are working only on the right side of the project.   

Work buttonhole handle –
At beginning of the round, knit 20 to the first marker, pass marker, knit 15, bind off 20 stitches, knit 15 to the next marker, pass marker, knit 20 to the next marker, pass marker, knit 15, bind off 20 stitches, knit 15 to the marker at the end of the round.
For the next round, knit 20, pass marker, knit 15, cast on 20, knit 15, pass marker, knit 20, pass marker, knit 15, cast on 20, knit 15 to the marker at the end of the round.

Decrease rounds for body of the bag –
The pattern of decreasing will be as follows, worked over 3 rounds.
Round 1: *SSK , knit to 2 stitches before the next marker, K2tog*. Pass marker and repeat between the asterisks three times.
Round 2: Knit
Round 3: Knit
Continue with the decreases for approximately 5 more inches or until there is no more Color A, whichever comes first.

Bottom of bag –
Cut Color A and begin knitting with Color B, knitting even on all rounds for 8 rounds. Work one purl round to designate where the bottom decreases will begin, then begin to decrease for the bottom of the bag as follows:
*SSK , knit to 2 stitches before the next marker, K2tog*. Pass marker and repeat between the asterisks three times.
Knit one round even.
Continue alternating one decrease round with one even round until there are two stitches between the narrow end markers, switching to double point needles when necessary.
When there are only 2 stitches remaining between each narrow end marker, turn the bag wrong side out and work a three-needle bind off on all stitches. Cut yarn and weave in ends.

Finishing –
Felt the bag using your preferred felting method. Shape and dry. When dry, sew a button on the inside of the bag beneath the center of the buttonhole handles. Cut a vertical slit on the front of the bag for the button to pass through, being careful not to make it too large.

Pattern Copyright 2006 Crystal Palace Yarns/Straw Into Gold, Inc. - We are happy to share this pattern with knitters. The pattern may be used for non-commercial personal or knitting guild use. It is not to be used in any publication in print nor should it be reproduced in electronic/digital format without permission. Knitting shops carrying CPY Yarns Fjord and Merino Stripes are welcome to print and share this pattern with customers of our yarns.

Retail shops in the USA should contact CPY Wholesale for information on purchasing Crystal Palace Yarns - email cpyinfo -at- straw.com

or write to:
Crystal Palace Yarns, 160 23rd St., Richmond, CA 94804
phone: 510-237-9988, fax: 510-237-9809