Yes and no. There was a definite belief that gods and men mingled in the past Age of Heroes. And that gods stopped interacting directly with men roughly with the generation after the Trojan War. (So, for example, Athena interacted with Odyssey's son Telamachus but not with his great-grandsons or after.) This is reflected in Hesiod, who considers the age of heroes to be a separate race of demi-gods. So, by the time of every source we have there is a definite knowledge that Zeus wasn't out there getting girls pregnant anymore. Athena wasn't going to challenge you to a weaving contest anytime soon. And so on. (My personal theory is that the gods realized that they screwed up so badly by taking sides in the Trojan War that they decided to mostly stay out of things after settling the wreckage with the next generation. But that isn't sourced.)

However, yes, the gods made news all of the time. Really, in many ways the gods were personifications of nature or human emotion or pretty much everything. Once you get to the third generation of gods, Zeus and co., they have big personalities and the Greeks go nuts with their imagination. But earlier versions were pretty literal in their personification. Think of Gaia who wasn't just an early goddess she was literally the earth. Pontus was the ocean. Zeus and others divided up control of these areas that are already filled with (and actually are) gods. So, Poseidon controlled the ocean. There were nymphs and gods for nearly every river and stream. They personified those things in many ways.

When there was a a horrible storm at sea or a disaster on land that was the gods. Quite literally. It isn't like Christianity where God made the earth and the ocean and all of that. Zeus comes late in the game. He takes control of the preexisting cosmos and the cosmos are made up of gods. They are everywhere. They are always news, in a sense. It wasn't just a bunch of wacky gods. It was a completely different outlook on life.