If USC wins out, USC will go to the National Championship game. Michigan's lead is by the slimest of margins. I think Notre Dame will take USC next week and I think the only way they jump to #2 is if they absolutely destroy USC.
The rematch is certainly possible. I want to see it for 2 reasons.
Reason #1 - Michigan and Ohio State are absolutely the best 2 teams in college football this year and both are deserving of the chance to play for the championship.
Reason #2 - it will once and for all, prove the BCS is crap and needs to be integrated into an 8-team playoff. Many coaches are already saying the same thing.
The next month is going to be very interesting.