Example yui3 autocomplete using yql

gistfile1.html

<input type="text" name="q" id="q" />
<script type="text/javascript">
YUI().use("autocomplete", "autocomplete-highlighters", "datasource-get", function (Y) {
        var acDS = new Y.DataSource.Get({ 
            source: "http://sugg.search.yahoo.com/gossip-us-fp/?nresults=10&queryfirst=2&output=json&version=&command=",
            });

        Y.one('#q').plug(Y.Plugin.AutoComplete, {
            maxResults: 10,
            resultHighlighter: 'phraseMatch',
            requestTemplate: "{query}",
            resultListLocator: 'gossip.results',
            resultTextLocator: 'key',
            source: acDS 
        });
});
</script>

DataSource.Get requires a response wrapped in a JSONP callback. The sugg.search API doesn't let you specify a custom JSONP callback, so this can't work. You'll have to go through YQL to get past the same domain restriction.