I love reading short stories (as well as writing them... when I can be bothered to make the effort... which is virtually never these days

). I've read stuff by all the big name American short story writers like Raymond Carver and John Cheever, but mostly I find that those writers are too clever for their own good. I would recommend the stories of Tobias Wolff - all of his stories are mini masterpieces. They make you think, and some (like the superb Hunters in the Snow) feature wonderful black humour. So yeah, pick up his book The Night In Question. Joyce Carol Oates is also excellent as a short story writer, as long as you don't mind reading stuff which is slightly twisted and disturbing.
So, on to what I'm reading atm... (The weird thing is I was thinking of starting an identical thread to this earlier on today. Spooky) I'm reading The Time Traveller's Wife, which came out not long ago amid rave reviews. It is just fantastic - you
have to read it if you like books which are really well crafted and rich and make you think. The author (the unfortunately named Audrey Niffenegger) has set herself a really tough challenge (ie to write a love story involving a guy who is constantly time travelling and to make it believable) but my god she pulls it off. Every single detail of the story has been imagined and is brought to life perfectly. I'm about two thirds through it and it's definitely a contender for my favourite book ever.
Mental note, re being the Fonz.
Mark, you are not the Fonz.