From Daring Fireball: It's Only Rock and Roll Event Prelude:

The most important iPod, the Touch, is getting a camera, and I believe will match the iPhone 3GS on processor speed and RAM. Three sizes: 16/32/64 GB for $199/299/399.
That’s about it for the sure thing bets.
My gut feeling is that the current no-button Shuffle has been a dud sales-wise, and at best has been a disappointment. ... So I’m thinking Apple will announce a brand-new design — maybe even with a button.

Well, he was waaaaay off on the 8 gig iPod touch -- wrong on its updated hardware, wrong on the storage size, wrong on the camera.

Fake Steve has been having and continues to have a proverbial field day with Gruber's predictions, if you can call them that.

Daring Fireball is great. It'll again be better when Gruber gets the hell out of making predictions.