Can someone help me figure out instinctively whats going on here?
There is no current through \$R_1\$. Therefore there is no voltage drop across it. Therefore, both leads of \$R_1\$ are at the same potential. Therefore, \$V_{OUT}=5\:\textrm{V}\$ since \$V_1\$ sets the voltage on the left side of \$R_1\$. Note that when you measure \$V_{OUT}\$, it is taken with reference to the "0" node (or ground.)

\$V_3\$ "hangs off" of that point. So the (-) end of it will be \$-3.2\:\textrm{V}\$. Etc.