The Friday Night Knitting Club by Kate Jacobs.
This is the story of Georgia Walker, single mother and owner of a yarn shop in Manhattan called Walker and Daughter. "Daughter" is Dakota, 12 years old as the book starts, a knitter like her mother, but also a talented baker.
Informally, a group of women start to meet at the shop on Friday evenings to knit and to chat. Eventually, Dakota starts providing snacks, and they dub themselves The Friday Night Knitting Club. The club consists mainly of 5 regulars, all different, and not all knitters. In fact, one of them is a (non-knitting) graduate student in women's studies who starts out writing her thesis on outmoded women's handicrafts.
It's difficult to describe the plot without sounding trite, but the book is absorbing and the characters are, on the whole, sympathetic.
It's interesting that just as I get back into the craft, a lot of novels on the subject suddenly appear. Even though I did get re-interested after reading a mystery with a knitting theme, I didn't expect to have read 4 or 5 others (not all mysteries) in the past 4 weeks.
Hmmmm..... I feel a list coming on ....