Here is the Pantone Color/Fashion forecast for Spring 2009 - these colors should be reflected in upcoming fashion lines. What's notable for me is that I love all these colors and would wear them (well except for the lemon yellow). I wish some yarn company would create some yarn in these colors (well except for the lemon yellow). I can imagine a knitting project with all these colors together (except for you-know-what). If you're interested in seeing larger swatches of the colors or learning more about each, you can open this PDF from Pantone.
I heard from Sarah B with her method of doing the knitted braid and I asked her if I could share it here.
"I know the Latvian braid seems to be a challenge for a huge number of people the first time out. For some reason, I "got it" immediately but I think the reason why is because I knit combined and must drop the other strand when purling with two yarns. I knit with the yarn in both hands, but I must purl with both in one hand and drop the yarn to do the braid. Therefore, as I purl one round of the braid, I tuck the just-purled yarn under my left thumb until I pick up the other stand. For the next round, I set the just-purled yarn off to the right over the needle until I pick up the other strand. Because of this I don't really have to worry about whether I am picking the yarn up from under or over the other. I just set the first strand down to the same side all the way around the each round."