UPDATE: This started just as we surrounded Fallujah? Fox News makes it seem less widespread.
UPDATE II: and now it's a quagmire. That's the most hopeful sign yet.
UPDATE III: I'm having some trouble with the link, so here's the most relevant section:
A coup d’etat is taking place in Iraq a the moment. Al-Shu’la, Al-Hurria, Thawra (Sadr city), and Kadhimiya (all Shi’ite neighbourhoods in Baghdad) have been declared liberated from occupation. Looting has already started at some places downtown, a friend of mine just returned from Sadun street and he says Al-Mahdi militiamen are breaking stores and clinics open and also at Tahrir square just across the river from the Green Zone. News from other cities in the south indicate that Sadr followers (tens of thousands of them) have taken over IP stations and governorate buildings in Kufa, Nassiriya, Ammara, Kut, and Basrah. Al-Jazeera says that policemen in these cities have sided with the Shia insurgents, which doesn’t come as a surprise to me since a large portion of the police forces in these areas were recruited from Shi’ite militias and we have talked about that ages ago. And it looks like this move has been planned a long time ago.
No one knows what is happening in the capital right now. Power has been cut off in my neighbourhood since the afternoon, and I can only hear helicopters, massive explosions, and continuous shooting nearby. The streets are empty, someone told us half an hour ago that Al-Mahdi are trying to take over our neighbourhood and are being met by resistance from Sunni hardliners. Doors are locked, and AK-47’s are being loaded and put close by in case they are needed. The phone keeps ringing frantically. Baghdadis are horrified and everyone seems to have made up their mind to stay home tomorrow until the situation is clear.