I've tried the google News widget and it's very complete, but you can't adjust the look to match your desktop theme. So, aesthetically, it sticks out a bit too much.
Right now, I'm giving RSSNOW a go and it looks like a lot of fun. Simply find an RSS feed and drag and drop it in.
Hedlines scroll across the widget.
or you can wheel mouse over the feed and watch the headlines scroll on command. Nice.:0
Any others that are better looking or more feature rich?