If you click the "List" link when viewing a day's events, you'll see that only the events are shown and not each and every hour of the day. If you don't mind that being the default display for "Day View" you can easily edit the default.html template to only display that way when displaying a day's events.
To make that modification find the line in the default.html template file which is:
<%-- DAY VIEW --%>
2 lines later you'll find
<% if ($STYLE eq "Grid") { %>
If you change that line to
<% if (0) { %>
(that's a zero BTW) 'Day View' will always display in 'List' format.
Dan O.
------------------