Simon of the Playa wrote:"take this pill and shut the fuck up"
ha! that would be awesome
seriously though, my approach is to be direct and then walk away or refuse to engage until that person takes some their drama down or finds a way to anchor it to real things. i find that people that have drama are emotionally needy without a healthy outlet. being a constant support to those people and hearing about their never ending, yet exhaustingly redundant "problems" short circuits me, so i just have to bow out.
i do want to add that i have always been direct (like my whole life) but when i was younger, i lacked verbal skills to be tactful. as a grown up, i've sort of honed the skills of delivering bad news directly (not sugar coated) but not being mean about it and people seem very responsive to it. one of the most common (and my favorite) compliments i get from new and old friends is being "refreshingly honest". with that said, not everyone is a huge fan of that approach, as it is quite bold, so if you go with my thing, you have to use your own judgement on whether or not this specific person can handle it.