Which template technology should I use with CherryPy?
I like Genshi.  
One reason that I like it is simply that the XML syntax looks much cleaner to me when mixed with HTML versus the text-level syntax of the other popular templating engines.  For example, it's nice to be able to stick a py:for attribute on  to output a table versus nesting messy #if or whatever lines.  
Another reason is that because it's based on XML and treats your HTML as XML, it guarantees that your markup is syntactically correct -- i.e. that tags are closed and properly nested, special characters are properly escaped, etc..  Other templating engines will simply treat your HTML as text and output whatever you give it without the extra santity checks.  
The main disadvantage of Genshi is that it is much slower than the faster text-based engines.  However, its performance should be good enough for most sites.  Unless you have a site that has a special need to render text/HTML at a super fast rate, the readability and syntax checking that Genshi provides probably outweigh the performance hit.
I'm in the process of building a web application using cherrypy.
What template technology do you recommend I use?