Fortunately, it's easy enough to not participate in, it's just one of those things that make me shake my head and wonder what the human race is thinking sometimes.
A related phenomenon is the slightly over-eager "Do you want to talk about it?" question. I know as well as anybody that talking over your problems with friends can help you feel better. But when someone I barely know jumps in to every discussion with "What's wrong? Do you want to talk about it?" instead of just making conversation, I immediately become wary. They may be genuinely trying to help, but I've met enough social vampires to know that they may also be trying to latch on like a giant Self-Worth Mosquito.
Both of these phenomena, besides giving unwise openings to those who might not have your best interests at heart, have the unseemly whiff of gossip about them-- gossiping about yourself is still gossip, after all. In the grand scheme of things, it's usually harmless, just incredibly tacky. However, it can do real harm, especially when you mix certain personality types that seem to gravitate towards each other as it is. The would-be-abuser and the would-be-abused seem to attract each other like magnets, and these behaviors are great facilitators for this kind of thing.
As I would prefer to be neither, I make it my policy to steer clear of it.