It rose two per cent to above 17,000 points for the first time since October 2007, outperforming the wider region.

The BoJ purchased the ¥38bn of ETFs as part of its recent stimulus package. It surprised markets in October by unveiling a significant extension of its quantitative easing programme, increasing the monetary base to ¥80trn (£454bn) a year.

Meanwhile, the Japanese current account balance remained in surplus for a third month running in September, helping to bolster shares.

There was also speculation Prime Minister Shinzo Abe will delay a planned 10 per cent sales tax rise and instead call a snap election, despite the markets’ long held anticipation of a tax hike.

The news from Japan came after the S&P 500 and the Dow both closed at all-time highs on Monday. The former rose 0.31 per cent to 2,038 points while the latter rose 0.23% to 17,614.

More widely, Asian markets saw mixed results. Both the Shanghai and ASX saw slight falls of 0.1 per cent. However, South Korea’s Kospi rose 0.2 per cent and India’s Nifty index rose 0.4 per cent to an all-time high.