I saw the Yankees a couple of times earlier this year in New York, and was really, really impressed. Best team I saw this year, and I'm not surprised that the Yankees are back in it.
I also saw the Phillies last year, they haven't changed much except swap Raul Ibanez for Pat Burrell, and adding Cliff Lee, but they are very good as well. Ryan Howard is going to like the RF at Yankee Stadium.
I think it will be a very good World Series.