## Keywords (1)

We study the dynamical spin susceptibility, $\chi({\bf q}, \omega)$, in the normal and superconducting state of Sr$_2$RuO$_4$. In the normal state, we find a peak in the vicinity of ${\bf Q}_i\simeq (0.72\pi,0.72\pi)$ in agreement with recent inelastic neutron scattering (INS) experiments. We predict that for spin triplet pairing in the superconducting state a {\it resonance peak} appears in the out-of-plane component of $\chi$, but is absent in the in-plane component. In contrast, no resonance peak is expected for spin singlet pairing.