Pseudo-listening

There are many situations in which we feel like we are going to experience a negative result no matter what we choose. Pseudo-listening is categorized as a negative listening style because the end results can leave others feeling disrespected and unappreciated, but I think we’ve all chosen to fake listen to avoid those exact results (making the other person feel disrespected and unappreciated). Do you think it’s okay to pseudo-listen sometimes? If so, explain and give an example. If not, how do you communicate to the other person that you can’t fully listen right now without hurting their feelings?
Under what circumstances is it OK to share information that someone has disclosed to you? Under what circumstances is it NOT OK to share the information?