The move is partly due to fears for the US economy, prompting a fall in the dollar against most major currencies. But on Wednesday, the pound was also higher against the euro, reaching €1.1616 and $1.2081.
It followed the release of new economic activity data, which was slightly stronger than expected. The purchasing managers index, which reflects the level of economic activity, fell in November at nearly its fastest pace in nearly two years. But the index was not as weak as economists had predicted, which helped to reassure investors.
UK shares rose another 12 points to close at 7,465, after hitting a two-month high on Tuesday. The pound was last at this level in mid-August, before Ms Truss became prime minister.
It is still 12% lower against the dollar, however, than it was at the start of 2022.
Markets are waiting to see central banks’ next moves on interest rates - bigger moves can dampen economic activity as borrowing costs go up and consumers pull back on spending, as well as boosting the value of the currency.
Although Truss was PM for such a short time (44 days), it seems that her disastrous tenure has become a mini-era, at least in financial terms … 
We are are now “post-Truss” … 