It's taken me a bit of time to find what would work with this crazy yarn. I've come up with a design called "Happy Mitts", and here's a quick look:
Isn't that a great yarn? Makes me smile just looking at it! Oh, and notice the Knitter's Pride Cubics double pointed needles. These are wooden, square needles. I have the shorter length (they were the least expensive). They feel great in the hands, and haven't really changed my gauge. The only complaint I have is that the size is printed on each needle, but it seems to be wearing off. I feel this might be a problem down the line, unless I specifically put them back into the envelope they came in, which also has the size printed on it.