This book list is just a beginning collection. There could be so many more books I could add, but this is a good place to start.
About Teaching Storytelling:
The Way of the Storyteller - Ruth Sawyer, Penguin 1942
Our Stories Remember - Joseph Bruchac, Fulcrum Publishing, 2003
Tell Me A Tale - Joseph Bruchac, Harcourt & Brace, 1997
Children Tell Stories - Martha Hamilton & Mitch Weiss, Richard C. Owen Publishers, Inc, 1990
Improving Your Storytelling - Doug Lipman, August House, 1999
An Elementary Odyssey - David H. Millstone, Heineman, 1995
Folklore and Fairy Tale Books
Indian Fairy Tales - Joseph Jacobs, Dover, 1969
English Fairy Tales - Joseph Jacobs, Dover, 1967
Celtic Fairy Tales - Joseph Jacobs, Senate, 1994
Irish Fairy and Folk Tales - William Butler Yeats, The Modern Library, 2003
Myths and Folk-Lore of Ireland - Jeremiah Curtin, Little, Brown & Co., 1890
Tales of the Seal People - Duncan Williamson, Interlink, 2005
'Coloured' Fairy Book Series (Blue, Green, Brown etc), Dover, 1965
Favorite Folktales from Around the World - Jane Yolen, Pantheon, 1986
American Indian Myths and Legends - Richard Erdoes and Alfonso Ortiz, Pantheon, 1984
The Norse Myths - Kevin Crossley-Holland, Pantheon, 1980
Norwegian Folktales - Peter Christian Asbjornsen and Jorgen Moe, Pantheon, 1982
Best-loved Folktales - Joanna Cole, Anchor Books, 1982
Favorite African Folktales - Nelson Mandela, Norton, 2002
Tatterhood and Other Tales - Ethel Johnston Phelps, The Feminist Press, 1978
Beowulf - Michael Morpurgo, Candlewick Press, 2006
The Complete Brothers Grimm
Jane Yolen has also written a book called Touch Magic, which is about literacy, and is a wonderful book to read.
Duncan Williamson is a legend of Scottish stories. Any book of his is worth getting. Unfortunately many are out of print. Not the one (at this point) above!
Kevin Crossley-Holland is another prolific folklorist. He has a children's version of the Norse Myths, but it is an edited version of the one mentioned above. All things by Crossley-Holland are definitely worth a look at, the same goes for Joseph Bruchac - both the books mentioned above and his story books.
The Beowulf version I have listed is for juvenile readers and is very accessible although there are many different translations. James Rumford has another juvenile version using only Anglo-Saxon words!