I believe "di nouvo" means again. "So what else is there again". And "What else is new" should be "che altro è nuovo"
Yes, "di nuovo" can mean that, but in this case "di" is a partitive: "what is there [that is] new?". It could have been "che c'è di bello?" (often used when inquiring about TV programs) or "che c'è di buono?" (often inquiring about menus) as well.
"Che altro c'e di nuovo" is how Italians say "So what else is new." The grammatical explanation is here too, but how can you argue with millions of Italians about how they say this? :)
"so, what else is new there" - why THERE is not accepted? Literally, c'e shall be translated as "there is"?
“What else is new” in English has a critical, cynical or sarcastic flavor. Is the Italian the same?