Edit in JSFiddle

    function ticker(){
        
        
        $('#news li:first').slideUp( function(){
            $(this).appendTo($('#news')).slideDown(); 
        });
    }
    setInterval(function(){ticker()}, 5000);
<link href='http://fonts.googleapis.com/css?family=Quattrocento' rel='stylesheet' type='text/css'>

<h1>Topics & News</h1>
    <ul id="news" class="ticker">
        <li>
            Free Top 10 Productivity Apps for iPad Users<br /> (via:<a href="http://skytechgeek.com/2011/10/free-top-10-productivity-apps-for-ipad-users/">skytechgeek.com</a>)
        </li>
                <li>
            5 Creative Design Blunders in Branding<br /> (via:<a href="http://machoarts.com/5-creative-design-blunders-in-branding">machoarts.com</a>)
        </li>
                <li>
            Amazing Eco-friendly Vehicles<br /> (via:<a href="http://www.awwwards.com/amazing-eco-friendly-vehicles.html">awwwards</a>)
        </li>
                <li>
            Are You Using CSS3 Appropriately?<br /> (via:<a href="http://sixrevisions.com/css/using-css3-appropriately/">sixrevisions</a>)
        </li>
    </ul>
html, body {
    font-family: 'Quattrocento', serif;
    font-size: 20px;
    padding: 0;
    margin: 0;
    background:url(http://kachibito.net/sample/Alice/demos/common/ios-linen.jpg);
        color: #fff;
}

a { color: #e8d421; text-decoration: none; }
a:hover { color: #e82134; }

h1{
  background: #1d1d1d ;
   margin: 0 ;
    padding: 5px 0px 5px 50px;
    opacity: 0.85 ;
}

.ticker {
    width: 600px;
    height: 210px;
    overflow: hidden;
    margin: 60px 0 0 35px;
    padding: 0;
    list-style: none;
    text-shadow: 0px 1px 1px #000;
        font-size: 25px;
}


.ticker li {
    height: 60px;
 border-bottom: 1px dashed #575757 ;
    padding: 5px;
    margin: 0px 5px;
}