I have procured yarn:
(Ghetto yarn, most definitely, but hey, I don't knit myself $200 sweaters, so I'm sure the heck not going to knit one for the dog, despite the fact that he is deservingly handsome.)
I have swatched:


Now I just need a pattern, or I need to decide to take the plunge and design something myself. Or I just need to start knitting and see what happens...