Heat the butter in a large saucepan over low heat, until foaming. When the foam subsides, add the flour, and cook, stirring, until a toasted, nutty aroma develops, but no browning, 2 to 3 minutes. Whisking constantly, add the milk gradually, 1 cup at a time, until the mixture is smooth before adding the next cup. Bring to a boil, stirring occasionally at first, then continually once boiling, until the mixture is thick and slightly reduced, 2 to 3 minutes. Add the nutmeg, and season to taste with salt and pepper. Set aside.