The Importance of Lunar Water, Dennis Wingo, SpaceRef
"It has been a few days now since the public revelations concerning the results from Cassini, Deep Impact, and the Brown University Moon Mineralology Mapper (mcubed) hosted on the Indian Chandryaan lunar orbiter. There has been much discussion and debate, some of it heated, between those who think that these revelations change the arguments of lunar versus Martian exploration by humans. Those on the lunar side think that this will greatly lower the cost and increase the viability of lunar development, and those who think that the Moon is still a wasteland that should be bypassed on the road to Mars. Amusingly, in the same Science issue, an article about how much more water that there is on Mars was included and was seized upon as "proof" that Mars is a more compelling target of exploration. However, in this argument between the two camps, it seems that the most important point is being missed. If, after 40 years of off and on again remote sensing that is just now finding the magnitude and extent of the water, what else have we not found?"
Water, water everywhere..., Paul Spudis, AIr & Space
"The extreme dryness of the Moon is established scientific dogma. The study of Apollo rock and soil samples pretty much had convinced scientists that the Moon has no water. Because its surface is in a vacuum and experiences extreme temperature swings at the equator (from -150* to 100* C), the Moon was believed to have a bone dry surface. Moreover, minerals that make up the lunar rocks not only have no water, but crystallized in a very reducing, waterless environment, indicating no significant water at depth."


I definitely agree with the point in the article that we should be sending landers and rovers to the lunar poles. Sample return would be good too.
As for the moon vs. Mars issue, the unmanned Mars program looks to me like it's already in danger of stagnating, no matter what happens with the moon. The mission tempo has already dropped off. Adding to MSL's problems, if the problems that MRO is having can't be fixed, then there's a risk that the amount of data returned will be further reduced. My understanding is that MSL data returns have already been scaled back from what they would have been if the Mars Telecommunications Orbiter had been launched. A loss of Odyssey or Mars Express would further constrain MSL.