Whooohooo
Chris Masse has a post up explaining that he will cover the US Elections through the lens of prediction markets.
Go and take a look:
http://www.midasoracle.org/2008/10/23/2008-us-electoral-map-prediction/

Going to be wild until the 4th on November.

First off, thanks to Chris Masse for the pointer. Go and visit his site, here is the link:
http://www.midasoracle.org/

Chris has a link to a post that compares the current Intrade probabilities with the the state of the polls.
Roughly the polls are showing from a 3.5% to 6 % lead to Obama with a 1.67% standard deviation, and Intrade has the respective contracts at McCain 15% and Obama 85%. How is this explained?
Read the post here: http://www.scsuscholars.com/2008/10/oversimplifying-intrade.html

The Money quote:  read more »

I found this graph on the following blog: http://www.clubforgrowth.org/2008/10/obama_vs_sp_500.php
After following a link from Instapundit.
Correlation is not causation, and there may well be more going on here than the picture shows.
BUT the point I want to make is the usefulness in getting a price information out of Prediction Markets.