Alpaca and llama clothing from Peru is amoungst some of the best in the world, I can testify to its softness for I bought 5 sweaters, 6 ponchos, and 10 socks (oops). However, thankfully I did not end up buying this hat.
Cusco Arial Views
Peruvian Food (best I could do)
Eco Packers Hostel
Ecopackers was a vibrant spacious hostel right off the main square in Cusco. This hostel was packed with young backpackers staying a couple nights before venturing off to Machu Picchu or surrounding hiking sites.