Heat oven to 325°F (165°C). Pat beef dry and season with 3/4 teaspoon salt and pepper. In a large ovenproof Dutch oven cook bacon over medium heat until browned; remove with a slotted spoon. Leave about 2 tablespoons fat, supplementing with oil if needed.

Brown beef in three batches over medium-high heat, 3–4 minutes on the broad sides. Transfer to a plate. Lower heat, add diced onion and carrots and cook 6 minutes. Stir in garlic and tomato paste for 1 minute, then flour for 1 minute.

Slowly add wine, scraping the bottom thoroughly. Add broth, bay and thyme, then beef, bacon and accumulated juices. Liquid should come about three-quarters of the way up the meat; add a little water if needed. Bring just to a simmer.

Cover and braise in the oven 2 1/2–3 hours, checking after 2 hours. Maintain a gentle simmer, not a hard boil. Beef is ready when a fork slides in easily and the meat separates with light pressure; add 20–30 minutes if still tough.

During the final 30 minutes, brown mushrooms in butter in a wide skillet for 8–10 minutes, then add pearl onions and cook 5 minutes. Stir both into the Dutch oven for the last 15 minutes of braising. Remove bay leaves and thyme stems.

Rest 10 minutes and skim excess surface fat. If sauce is thin, remove meat and vegetables and simmer uncovered until it lightly coats a spoon; return everything to warm through. Season with the remaining salt only if needed, then add parsley.