The FTSE 100 Index of Britain’s biggest companies on Wednesday evening finished above its level before the referendum result .
The 250 Index, more focused on the domestic economy, also bounced but still ended 8% down on its closing price
before the Brexit vote.
Despite the rally, telecoms giant Vodafone has warned it could axe its UK HQ in London if talks with Brussels fail to maintain free movement of people, capital and goods.
The group added it would be boosting activity in the Belgian capital to “ensure the group’s substantial businesses within the EU continue to be represented appropriately.”
The group, with more than 13,000 staff in the UK, made 11% of its profits in Britain in the last financial year, with 55% coming from its European operations.
It is the latest firm to sound the alarm over leaving the single European market.
Virgin founder Sir Richard Branson said it had pulled the plug on a deal worth 3,000 jobs due to the uncertainty.