Cloudy Day - Rebel XT

[sandrast]

I am using a Rebel XT. What settings would you suggest for photographing people on a cloudy day?

[defordphoto]

White balance: Cloudy
ISO: whatever keeps your shutter speeds up

First and foremost, experiment. Experimenting forces you to learn the limits of yourself and your equipment and ultimately will make you a better photographer. Professional photographers evolve by shooting a whole bunch of very bad shots. ;)