It is the first time since the rankings were introduced in 2003 that Wales have been number one.
It ends the All Blacks run of 509 consecutive weeks on top.
Even though the All Blacks retained the Bledisloe Cup with a 36-0 victory against Australia at Eden Park in Auckland, Wales knew any form of victory against England in Cardiff would result in them overtaking the world champions.
With Wales’ rating now increasing to 89.43 rating points, three-hundredths of a point separates the Six Nations Grand Slam winners from New Zealand.
Wales are only the fourth team to occupy the number one ranking, after England, New Zealand – for 88.29 per cent of the time – and South Africa.
The rest of the top ten is Ireland, South Africa, England, Australia, France, Scotland, Japan and Fiji.