01 - Heat olive oil and butter in a large skillet over medium heat. Add the diced shallot and cook for 1 to 2 minutes until soft and translucent.
02 - Add the sliced mushrooms to the skillet and sauté for 5 to 7 minutes, stirring occasionally, until golden brown and all released moisture has evaporated.
03 - Stir in the minced garlic and cook for 1 minute until fragrant, being careful not to let it brown.
04 - Pour in the dry white wine, scraping up any browned bits from the bottom of the pan. Let it reduce for 2 to 3 minutes until nearly evaporated.
05 - Reduce heat to low. Stir in the heavy cream, grated Parmesan, salt, pepper, and nutmeg if using. Simmer gently for 4 to 5 minutes, stirring occasionally, until the sauce thickens slightly and coats the back of a spoon.
06 - While the sauce simmers, bring a medium pot of salted water to a boil. Cook the gnocchi according to package directions until they float to the surface, about 2 to 3 minutes. Drain thoroughly using a slotted spoon.
07 - Transfer the drained gnocchi into the skillet with the cream sauce. Gently toss until every piece is evenly coated. Fold in the chopped parsley and remove from heat.
08 - Divide among warm plates and garnish with additional Parmesan and a scattering of fresh parsley. Serve immediately.