In January, thinking that stocks wouldn't go anywhere for the next two quarters while interest rates would go down, I bought a six month 5.1% CD from Washington Mutual. The CD has matured. As the rate offered for another six month CD is 2% and interest rates are expected to remain steady or rise, I just moved the money into my savings account. The yield there is currently 3.3%.
The S&P 500 is down around 12% since January, so I guess I made the right choice (relatively speaking, of course--an energy stock ETF would've been much better).
I'm not sure how long I'll keep the money in savings. Procter & Gamble looks tempting, as do Johnson & Johnson and Kraft. Pfizer had looked interesting to me six months ago, but I've soured on it a bit.