Feed into it!
Gossip is just another word for "information exchange". It only becomes a problem when it's harmful or incorrect. Folks naturally want to share information about each other and the company they work for, and trying to suppress it is futile; indeed, if you develop a reputation for shutting down gossip, you may find yourself "out of the loop" as your co-workers learn to recognize you as a buzz-kill. And by refusing to join in, you may actually be hurting yourself and others:
The study also found that gossip can be therapeutic. Volunteers’ heart rates increased when they witnessed someone behaving badly, but this increase was tempered when they were able to pass on the information to alert others.
“Spreading information about the person whom they had seen behave badly tended to make people feel better, quieting the frustration that drove their gossip,” Willer said.
So don't just listen. Participate! And make sure you're sharing helpful and accurate information, and encouraging others to do likewise.
...Or failing that, at least spread entertaining misinformation:
Mary: Did you hear about Janice? Her son got arrested for selling Ritalin at school!
Lucas: No, I didn't... But what a relief it is to hear she actually has a son! There was a rumor going around that her whole family was just a cover story, to hide her involvement in the Russian mafia!