I can't decide between a Canon or a Nikon, help?

I want to persue my photography hobby and get a legit camera because right now I have a Casio Exilim point and shoot. I hear Nikons have better lenses and Canons have better bodies. So far I've found that Canons seem to be more expensive and everyone around here tends to have Nikons. However, I was really checkin out the Canon EOS Digital Rebel XS. Any suggestions on which to buy? Other good brands? Good places to buy from? Cheap deals???