The recession in the US is over. Evidence came with the news that its gross domestic product grew at an annual rate of 3.5 per cent in the third quarter - slightly better than positive forecasts.

Stocks rallied, while the dollar sold off. The numbers were a good enough reason to halt the recent return of risk aversion. In the short term, the key to whether risk appetite can return lies in the data that are due next week, crucially US employment.