I just caught this on Buck's blog, and I must agree with him as Live Writer seems to be the coolest blog-tool I've used so far (not that I've tried them all).

The first version of Windows Live Writer is now available.  I've been using the betas for a long time, and I think it's a great application (and it's free).  I use it to write all of my blog posts.  If it weren't for Live Writer, I wouldn't have written nearly so many blog posts.

Buck Hodges : Windows Live Writer 2008 is now available

Read that post and check out some of the plug-ins that are available for Live Writer.

Live Writer Plugin Gallery