「」「、」
"That's a stupid urban legend." "Yeah, but they do say there's no smoke without fire."
Literal
"Stupid urban-legend [conjectural-だろう]" "But, fire [genitive-の] not-exist place [at-に] smoke [topic-は] not-rise [quotative-と] say [but-けど] [reflective-ね]"
A paired exchange around a proverb. くだらねえ is the rough-masculine colloquial form of くだらない ('stupid, worthless, trivial') — same ~ねー reduction characteristic of male-speech (where the ai of ない slurs into ē). 火のないところに煙は立たない ('smoke doesn't rise where there's no fire') is a ことわざ that parallels the English 'where there's smoke, there's fire' — though phrased in the negative. It's a claim that rumors generally have some basis in truth. The frame ~というけどね ('though they say that X') uses the けど ('but') + ね (reflective) to cite the proverb while leaving its application to the listener.