Both of them are essentially the same. The 850 is rated slightly higher. If you do not have a steady hand then get the 850. You do not have to pocket it. Get a waist case, which some find fashionable. In fact, it is advisable not to pocket a camera. It is safer to put it in a waist/belt case. Both are also light enough to wear round the neck !
I am really struggling with this decision, so any feedback would be massively appreciated. I'm trying to decide between the bulkier, more expensive 850 with image stablization and theoretically better quality photos vs. the thinner, cheaper, no I.S. Powershot SD1000.
If anyone out there has thoughts on this, I thank you, because I am just at a loss. I would go for the 850, but I'm afraid I won't pocket it as readily as I would the 1000, as it's just thicker enough as to not be quite that convenient. But then I worry about picture quality, the lack of I.S., etc.