To read RSS, just put a feed address into Safari and Apple redirects it through their iPhone feed reader. But it’s very much of an a la carte thing, one feed at a time. What’s needed is a proper newsreader with its own icon on home screen. Workarounds for now: Google Reader looks nice or you could make a collective feed that combines all the feeds you want to read on your iPhone and use that with the iPhone feed reader.
I need NetNewsWire for this thing so bad it hurts.