I'm trying my hand at a Christmas stocking. I got the kit from Annie's Woolens. I want to try color work (stranded knitting), and I thought this would be a great project for it. I got the kit at a LYS while on vacation Here is a pic of the kit:
I'd also vote socks -- great portable project for summer, and tons of great books, web instructions, etc... My particular favorite is Sensational Knitted Socks -- a sock class in the beginning, and lots of options for different sock patterns.
Have fun deciding!