We stayed in Asti over the Palio weekend, 2010. The flag throwing event in the local square on Sunday morning and then the one and a half hour historical parade in the afternoon were amazing and events not to be missed. We didn't have seats for the Palio itself but stood in the Parterre, which was extremely busy - will book seats if we ever go again.
On the Saturday night, guess who was on the next table to us, Antonio Carluccio, and he was gracious enough to offer us the opportunity of a photoshoot!
All in all we thought Asti was a lovely place to stay. Can recommend the Restaurant Francese.