The Nikkei 225 Stock Average surged 1.83 per cent, or 164.24 points, to 9,159.39. The broader Topix Index advanced 1.70 per cent, or 12.65, to 756.88.
"It's a fantastic time to be investing in the Japanese markets," said Ed Rogers, chief executive officer at Tokyo-based Rogers Investment Advisors, which invests in funds of hedge funds.