When opening a file, it’s preferable to use open() instead of invoking this constructor directly. file is more suited to type testing (for example, writing isinstance(f, file)).
In addition to using open() instead of file(), I would strongly encourage the use of the syntax:
with open('feedlist.txt') as in_file:
for feedurl in in_file.read():
With this syntax, in_file.close() will automatically be called when the with block terminates even if exceptions are thrown. File handles left open lead to bugs and memory leaks. The with syntax allows you to open, use, and forget because the close() call is automatic.