I’ve switched exclusively to pellets. I use Mallard Creek pelleted bedding and don’t find them dusty at all. I don’t bother watering them, I find the horses pulverize them pretty quickly and so not worth the effort. The pellets absorb a ton of moisture and do a great job neutralizing the rank mare pee smell. Go through about a bag a week. I find them to be very cushy, assuming you’re adding enough bags to the stall off the bat.
I have an incredibly messy horse and I find it takes me half the time to clean and I’m saving a ton of bedding. If the horses are stuck inside for a prolonged period, I’ll add flaked bedding to give it some cozy fluff.