1. To give the impression of something being the case based on what one hears or is told. It sounds like you're really unhappy in your job, at least from everything you've told me so far. The team gave me an update on their progress, and it sounded like everything was going smoothly.

2. To give the impression of being a certain way based on what one hears or is told. Wow, that sounds like a fabulous vacation! It certainly sounded like a difficult situation that they had found themselves in.