Japanese stock market sees biggest one-day rise since financial crisis

Surge of 7.7% in Nikkei 225 index comes after prime minister's pledge of corporate tax cuts, though long-term questions over 'Abenomics' remain

Japan's stock market soared on Wednesday after the prime minister, ShinzA Abe, promised to cut corporate taxes and maintain the ultra-low borrowing costs that have supported the country's economic recovery over the last two years.

The Nikkei 225 index rose by 7.7%, its biggest one-day rise since the 2008 global financial crisis, as Abe, fresh from his recent re-election as LDP leader, said he planned to cut corporation tax by three percentage points and sounded optimistic on reaching a trans-Pacific trade deal.