My daughter pointed to the word "No" the first time it appeared, and said: "That says no." It's unclear if she already knew how to spell "no" or was getting it from context, but she was correct either way. So I told her she could read the "No" parts the rest of the way through. And she did. She took pride later in telling Daddy that we had read the book together. As I take pride in telling all of you.
This makes four words that she can spell aloud and recognize by sight: her name, her friend's name, Mom, and No. It's a good start, I think!
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She had a little pile of books from the 
I suggested that she read me more of the books on our way to the party, but she wanted me to be able to see the pictures, so we had to stop. But I was happy that even in the midst of a weekend of holiday craziness, we made time for another little literacy milestone. (And don't tell Baby Bookworm, but she's receiving the 
Anyway, we got to the end of the book and Baby Bookworm said: "Let's read another book. That one didn't have much story" (or something to that effect). This is the first time I've seen her consciously aware of whether a book contained a story, or just other things (vocabulary, pictures, etc.). 
We also watched the movie Wall-E this weekend, my daughter's first viewing. I was pleased to note that she had no problem staying engaged during that first part of the movie, when essentially no dialog takes place. She needed us to explain what was happening, but she didn't need the movie itself to have words. I doubt she would have stayed still if there hadn't been a good story, though.