Anthony Watts has since written another article, breaking the embargo on this new paper, which was published in ScienceXpress today. He rationalised his behaviour by saying that "multiple sources have sent me a press release and advance copies of a paper", meaning maybe two people.
The new paper is by a team of scientists, mostly from NOAA's National Centers for Environmental Information (NCEI). The title is:
Possible artifacts of data biases in the recent global surface warming hiatus
The paper describes an analysis of global surface temperature trends, using much more data from land stations in particular. It also includes corrections, particularly for time-related bias in sea surface temperatures. The main finding is that the trend in surface temperature this century is indistinguishable from that for the second half of last century. Global warming continues at the surface.
Update: I've added more links to blog articles elsewhere about this new paper.