WRONG ALTIMETER SETTING BY FLC. CTLR NOTED 1000 FT LOW FROM ASSIGNED ALT.

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A CLASSIC! MODERATE CHOP TO MODERATE TURB IN THE DSCNT FROM 25000 FT. CLRED EARLY DOWN TO 11000 AS CONDITIONS WERE RPTED SMOOTHER. CTLR ASKED FOR PROGRESSIVE PIREPS ON CONDITIONS AS WE WERE LEADING THE PACK INTO RDU. HIGH DRAG/LOW SPD/HIGH DSCNT RATE WAS CHOSEN TO GET TO ALT QUICK. COPLT AND I REMEMBER HIM GIVING THE SAYING 'RALEIGH ALTIMETER; 58' AND WE DON'T REMEMBER HIM GIVING THE FIRST 2 DIGITS. FOR PAST 2 DAYS SE COAST HAD BEEN BLANKETED IN EXTREME HIGH PRESSURE WHICH WE HAD BEEN FLYING IN AND THIS WAS OUR FIRST LEG AFTER A LOW PRESSURE SYS HAD MOVED IN. I GAVE A PIREP THROUGH FL190 WHICH THE CTLR ASKED ME TO REPEAT. AS I FINISHED THE REPETITION THE COCKPIT DOOR BANGED OPEN AND AN AGITATED FLT ATTENDANT WANTED TO KNOW HOW LONG THIS TURB WAS GOING TO LAST AND WHAT THEY SHOULD DO WITH THEIR CART IN THE AISLE. I EXPLAINED TO HER THAT THE ROUGH AIR HAD NOT BEEN FORECAST TO US BY THE CTLR BUT THAT AN AIRPLANE AT 12000 FT HAD RPTED ONLY OCCASIONAL BUMPINESS AND WE WOULD BE THERE SOON. AS I FINISHED SPEAKING WITH HER; THROUGH 13000 FT THE COPLT BROADCAST 'ALTIMETER 30.58' WHICH I SET IN MY ALTIMETER AND THE CENTER ONE. JUST THEN THE CTLR GAVE US A FREQ CHANGE WHICH I ACKNOWLEDGED. CHKING IN AT 11000 FT; THE CTLR QUESTIONED ME ON MY ALT. I REPEATED '11000 FT' SHE THEN SAID RDU ALTIMETER IS 29.58! WE WERE 1000 FT BELOW OUR ALT. NONE OF THE USUAL KEYS KICKED IN TO CAUSE EITHER OF US TO QUESTION OUR ASSUMPTION. WE ARE NOT SURE THAT THE CTLR DID NOT SAY '29.58' AND WE JUST BLOCKED IT OUT DUE TO OUR 2 DAYS OF FLYING IN MUCH HIGHER ALTIMETER SETTINGS. COCKPIT WORKLOAD AND DISTRS CERTAINLY WAS A FACTOR AS WE HAD NO TIME TO FOCUS ON WHAT WAS AN INCORRECT ALTIMETER SETTING.