Tilli Tomas Disco Lights [90% Spun Silk, 10% Petite Sequins; 225yd/206m per 100g skein]
Size S shown in #180 Lime Sherbert; 1 skein
Size L shown in #133 Ruby Wine; 1 skein

Recommended needle size:
1 set US #5/3.75mm double-point needles
[always use a needle size that gives you the gauge listed below -- every knitter's gauge is unique]

Split ring marker or safety pin
Stitch marker
Stitch holders (optional)
0.3 yd medium-weight woven fabric for lining
Sewing thread to match color of yarn
Sewing needle
Straight pins

Lining the bag is recommended, but not required. It will help the bag to better keep its shape, and show off the knitted pattern!

Diamond Panel (Worked in the round over 21 sts):
Round 1: K2, p3, k6, p1, k6, p3.
Round 2: K2, p1, k1, p1, k6, p1, k6, p1, k1, p1.
Round 3: K2, p3, k5, p1, k1, p1, k5, p3.
Round 4: K2, p1, k1, p1, k5, p1, k1, p1, k5, p1, k1, p1 .
Round 5: K2, p3, k4, p1, [k1, p1] twice, k4, p3.
Round 6: K2, p1, k1, p1, k4, p1, [k1, p1] twice, k4, p1, k1, p1.
Round 7: K2, p3, k3, p1, [k1, p1] 3 times, k3, p3.
Round 8: K2, p1, k1, p1, k3, p1, [k1, p1] 3 times, k3, p1, k1, p1.
Round 9: K2, p3, k2, p1, k1, p1, k3, p1, k1, p1, k2, p3.
Round 10: [K2, p1, k1, p1] twice, k3, p1, k1, p1, k2, p1, k1, p1.
Round 11: K2, p3, [k1, p1] twice, k5, [p1, k1] twice, p3.
Round 12: K2, p1, [k1, p1] 3 times, k5, [p1, k1] 3 times, p1.
Rounds 13-14: Work as for Rounds 9-10.
Rounds 15-16: Work as for Rounds 7-8.
Rounds 17-18: Work as for Rounds 5-6.
Rounds 19-20: Work as for Rounds 3-4.

M2: Insert left needle, from front to back, under the horizontal strand which lies between the stitch just knit, and the following stitch; knit into the back, then front, of this loop. 2 stitches increased.

Three-Needle Bind Off
Hold both pieces of knitting with right sides together.
Insert needle into first st on front needle and first st on back needle, and knit them together. *Repeat this for the next st on the front and back needles. Draw the first st worked over the second st.*
Repeat from * to * until all sts have been bound off. Break yarn and draw through remaining st.

Instructions for Backstitch can be found here.

CO 88[130] sts.

Divide sts between needles and join to begin working in the round, being careful not to twist. Once the first few rounds have been worked, place split ring marker or safety pin in work to indicate beginning of round.

Set-up Round: Work Round 1 of Diamond Panel 2[3] times, k2, place marker, work Round 1 of Diamond Panel 2[3] times, k2.

The marker indicates the side edge of the bag. The other side edge of the bag is located at the beginning of the round. At each of these side edges, there will be a column of 4 knit sts.

Continuing in pattern as set, work through all rounds of Diamond Panel 3 times, then work Rounds 1-2 once more.

Size S Only:
Next Round: [K2, p3, k13, p3, k1, m2 (see Pattern Notes), k1, p3, k13, p3, k2] twice. 92 sts.

Size L Only:
Next Round: [K2, p3, k13, p3, k2, BO 18 sts, sl last st on right needle back to left needle, k2tog, k1, p3, k13, p3, k2] twice. 2 sets of 46 sts on needles.

HANDLES
Set-up Row [RS]: Sl 1 knitwise, [k1, p1] twice, k13, p1, k1, p1, k2; first handle will be worked back and forth over these 23 sts.

Place remaining sts on st holders or leave them on hold on double-point needles. There will be 4 handles, each worked over 23 sts.

Row 1 [WS]: Sl 1 purlwise, p1, k3, p13, k3, p2.
Row 2 [RS]: Sl 1 knitwise, [k1, p1] twice, k13, p1, k1, p1, k2.
Repeat these 2 rows until handle measures 4 inches. Break yarn, leaving a 1 yd tail; place sts on st holder or leave on hold on double-point needle.

Next Handle:
Place next 23 sts on needle and reattach yarn with RS facing.
Work as for first handle, beginning with Row 2 of pattern.
Work 2 more handles in the same way.

Join Handles:
Turn bag inside out and lay flat, ensuring that the fold at each side edge is in the correct place as established by the body pattern. There will be 2 handle halves on the right, and 2 on the left.
With right sides together, use Three-Needle Bind Off to join the 2 handle halves on the right, then repeat for the halves on the left.

With bag inside out, sew lower edge closed using backstitch. Alternately, lower edge may be closed using slip st crochet, with bag
right side out.

Weave in ends.

Lining
Cut a rectangle of fabric which measures 15.5 inches high x 8.5[11] inches wide.

Fold in half with right sides together, matching short ends. Folded piece measures 7.75 inches high x 8.5[11] inches wide.

Sew along the 2 short edges, leaving 0.25-inch seam allowance. This forms a pocket which is 7.75 inches deep.

Fold upper edge down 0.25 inch toward WS, and press.

Mark center front and back of lining with straight pins.

Insert lining into knitted bag with WS of lining facing WS of bag, matching sides and centers. Sew lining in place with sewing needle and thread, catching only the backs of the knitted stitches.

Jairlyn Mason spends her days working as a costume designer for Center Theatre Group’s Ready, Set, P.L.A.Y. and her weekends working at Compatto Yarn Salon.