erik schatzker sat down with henry mcveigh and howard marks to get some expert insight. >> let's talkean growth. based on what you have seen, why is it surprisingly positive? >> the biggest single factor, we do a lot of quantitative models and on the ground research is just the monetary policy. when you look at the ecb with zero interest rates, that has a huge stimulus effect on the economy. we saw a similar picture in the u.s. a couple of years ago where monetary policy was moving forward, but there is no cyclical ignition to drive the growth until housing picked up. that happened in the u.s. and in europe right now, we are seeing house prices go up, not a lot of consumer lending activity. the transition investors should look for is for monetary policy to the cyclical parts of the economy, including housing. right now, monetary policy is dominating, but our base view is if the cyclical components will pick up. >> what about fiscal policy and structural change? we lived through gridlock in america at a time of monetary stimulus. are the europeans doing a better job of governing? >> i

mcveigh,with henry head of global asset allocation at kkr.talk about the second round of the french election. emmanuel macron is against marine le pen. we should look at what the polls say. they show a 60% of ability of macron winning the second round. do you feel as confident about these polls as the markets do today and yesterday? henry: i do. i think we have made it through the most difficult period. macron is antiestablishment. view at kkr is he would be embraced by being somewhat antiestablishment relative to donald trump or hillary clinton went hillary clinton was perceived to be establishment in the u.s. marine le pen has been around for some time. she is not a new force like donald trump. it is not over until it is over. but our base assumption is that france will move forward. recently, right before the election, growth remains strong. it is better than what most people think. i think the markets are reacting to that. eric: let's talk about european growth. we can get to how much of a tailwind or not a manual micron would be for -- e