The recession in the US is over. Official confirmation 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, will depend on the data that is due next week, and crucially US employment.