The notable gains made by Japan's right-wing and exclusionary parties in Sunday's upper house election show these forces are capitalizing on growing public dissatisfaction and tapping into nationalist and anti-immigrant sentiments to expand influence nationwide, according to analysts.

TOKYO (Reuters) -An upstart party is gaining support ahead of elections in Japan by railing against a 'silent invasion' of immigrants, pushing the government to tackle fears about foreigners as it drags into the mainstream rhetoric once confined to the political fringe.

The success of Japanese right-wing party Sanseito in Sunday’s upper house election has the potential to unnerve global investors, who have been among the strongest supporters of the nation’s equity markets.

Japan’s right wing Sanseito party made surprise gains in Sunday’s election after running an anti-foreigner campaign

Populist ideals are gaining traction in Japan, spurred by right-wing politicians running rampant elsewhere railing against "elitism", "globalism" and immigration.This includes "stricter rules and limits" on immigration and foreign capital,

The fringe far-right Sanseito party, originating from YouTube and inspired by Trump, made significant electoral gains in Japan's upper house election by promoting anti-globalist rhetoric. The party focuses on tax cuts,

Anti-establishment parties focused on wages, immigration and an unresponsive political elite struck a chord with working-age people in Japan.

"They are the party of YouTube," said Jeffrey Hall, a lecturer at Kanda University of International Studies who has authored a book on right-wing politics in Japan.