I wouldn't call it talking, but they definitely communicate. My husband's cat will make little meows when we talk to her. Like when we go visit her (she doesn't live with us unfortunately), we ask her if she missed us and she gives a little meow back. We take that to mean that she does miss us!! My mom's cat will also meow in response to some things she says. My mom believes that when ever she tells her cat "I love you", the cat responds by flicking her tail saying " yeah, I love you too".
Right now my husband and I are doggy sitting his mom's dogs. The min pin will respond when I ask if he wants to go out and pee, by barking and getting all excited. I am sure I could come up with more examples, but I definitely believe that our pets communicate with us.
