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In a large skillet set over medium heat add butter.
Once the butter is melted add mushrooms, shallots, garlic, minced rosemary, thyme leaves, kosher salt, black pepper.
Cover the pan, stirring every few minutes or so, until the mushrooms start to soften and release their moisture.
Pour in the dry sherry.
Saute mushrooms until they are soft and the liquid is cooked down by a little less than half.
Cover the mushrooms and keep warm while you prepare the gnocchi.
Set a large pasta pot filled with water over high heat. Once the water is boiling add in the gnocchi and cook just until it floats to the surface and then drain.
Go back to the mushrooms and stir in the creme fraiche until it's combines and becomes creamy.
Stir in gnocchi and serve immediately.