yeah, thats what I do!!!
The Gmail team has introduced a few changes to the buttons on Gmail.
To begin with, you will notice that the button styles have changed. They are sharper than before.
Apart from the style change, Gmail has introduced two new buttons, Move To and Labels .

The Move To button will help you to better use labels and this button also gets labels closer to folders. In a traditional set up, whenever you move a file to a folder, the file would be transferred out of its current position and moved to the folder. Exactly the same way, whenever you move a mail into a label, the new label would be applied to the mail and the mail would be Archived meaning it would not be in your inbox after that.
The Labels button is to only apply a label to the mail and not Archive it.
I guess the names speak pretty well. Move To meaning move the mail to this label and Labels meaning apply this label to the mail.
Thanks Gmail Blog
Kunwar
February 5th, 2009 at 10:52 am
I have been waiting for this feature for a long time. Labels are useful but u often find yourself lost in your archives when you find same email everywhere in multiple labels.
Folders are a better way to archive email.
Thanks Gmail!