The Canon PowerShot SX260HS has worked well for me. A great image processor (only jpegs though), a number of "advanced" features, an x20 optical zoom lens that's really pretty good, and all for under US$200 as I remember paying.
I've been using the Nikon Coolpix S4200 for a few months now, actually use it more than my full frame Nikon. 16mp proves quality images, zoom is great, wide angle for just about anything, touch screen. I love it.
I use a Nikon Coolpix P7100. I have selected this one because of the full manual control and - at the time - respectable aperture range. I also found it important to have a viewfinder.
Now, looking back, I do like the camera, but it certainly is not a replacement for the DSLR, it lacks the dynamic range; you see it in the colors. Then, the pictures are a bit noisy to my taste, but that can be easily cured in the raw editor I use. Then, the size is becoming a bit of a nuisance. It is smaller than a DSLR but not so small that it fits in a jeans pocket. I used to have a Canon A1200 (also with viewfinder) that was small enough, but the quality was too low (the price quality ratio though was superb). Concerning the viewfinder: The quality of the viewfinder by the way is so low that I hardly ever use it.
The successors of the P7100 do not have an optical viefinder an have an extended aperture range; I don't know about size.
I have a powershot sx50 hs that I just love. It has a versatility that I find very helpful when things happen like this weekend when I forgot my macro lens and really wanted to take a few close-up shots.
I use a Canon Powershot SX 280 HS. One day, I hope to change lenses on my camera! :) Full manual mode, aperture, shutter, lots of options. It has a "macro" lens option, manual focus options, wifi, and many fun creative filters. 20x optical zoom. Best of all, it is tiny - lightweight and I carry it in my bag every day. It could easily fit in your pocket, if your britches aren't too tight. :) More than $200, though. Good luck.
I got Canon PowerShot SX30. Got it a few years ago for my hiking trip, because I didn't have a good lens for my DSLR then and I wanted something smaller to carry with me. Worked ok there, pictures came out pretty good. Now I only use in gigs anymore, and that's because I can't usually take my DSLR with me.. And now I'm annoyed on so many things about it :D Some pics turn out ok still, but waiting for the day I can take my DSLR with me everywhere..
I have a Cannon Power Shot A2500 which I have used almost exclusively for this 365 project. Over nine months into this exercise now , I am becoming more aware of its shortcomings - e.g. limited optical zoom and devoid of fine-tuning for focus or lens attachments and no viewfinder apart from the screen. However it only cost me NZ$99 (approx 63 pounds sterling), it has a large number of quickset options for different effects,and it slips easily into my handbag or pocket. I intend upgrading when I come to end of my 1st year here so I will follow your discussion with interest as I have seen lovely work done on here with the more advanced Canon power shot models.
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Now, looking back, I do like the camera, but it certainly is not a replacement for the DSLR, it lacks the dynamic range; you see it in the colors. Then, the pictures are a bit noisy to my taste, but that can be easily cured in the raw editor I use. Then, the size is becoming a bit of a nuisance. It is smaller than a DSLR but not so small that it fits in a jeans pocket. I used to have a Canon A1200 (also with viewfinder) that was small enough, but the quality was too low (the price quality ratio though was superb). Concerning the viewfinder: The quality of the viewfinder by the way is so low that I hardly ever use it.
The successors of the P7100 do not have an optical viefinder an have an extended aperture range; I don't know about size.