Mutual Fund Equity Outflows

Recently, in spite of attempts to talk the economy up (see my previous post), various indicators are highlighting increasing stress in monetary, financial, equity and real estate. A potentially very serious problem relates to the 3 plus month consecutive outflow from equity funds which seems not to have been reflected in actual stock price levels. This begs the question of who, then, has been buying or how have the markets managed to stay level. A good commentary on this issue from Zerohedge here suggesting manipulation, HFT, etc., although I personally believe that the federal Reserve/Treasury, through its agents, are also supporting the markets at crucial times as well.