Diggit Drupalextras

Hi, I am in the process of making a news aggregation website, and would like to know what the best way for me to populate my categories with nodes generated from imported rss feeds or xml. I have a total of 10 categories all distinguished by taxonomy terms and views. I would like to set up a way of automatically having my site import xml or rss , taking the information and populating different fields in a node. Then submitting that node to its respective category. I hope this makes sense!!
I have been trying to use the feeds module to do this, but it seems like it can only import into one category and it doesn't seem like it will import and create nodes automatically (behind the scenes). Please let me know what my best options are!! Thanks in advance!