Global markets had a wild start to the week, with Tokyo’s Nikkei 225 index tumbling nearly 5% while Chinese markets soared on news of fresh stimulus for the faltering economy, with Shanghai up more than 8%.

Japan's incoming prime minister Shigeru Ishiba is poised to call snap elections for October 27, local media reported Monday, as equities plunge on a strong yen and fears that tax hikes are on the cards.

Asian markets were volatile at the start of the week, with Tokyo`s Nikkei 225 falling nearly 5 per cent, while Chinese markets soared on news of more economic stimulus. In Japan, shares fell after the ruling Liberal Democratic Party named former Defence Minister Shigeru Ishiba as the next Prime Minister,

Ishiba has expressed support for the Bank of Japan's moves to raise interest rates from their near-zero level. He also backs other policies, such as possibly raising corporate taxes, that are seen as less market friendly than his chief rival for the top job, Economic Security Minister Sanae Takaichi, who he beat in a run-off vote late Friday.