Russia's stock market saw a decline in shares at the close of trade on Friday, with the Micex-10 Index losing 0.4% to close at 2,341.6. However, the MOEX Russia Index, which tracks the performance of the broader market, remained unchanged at 3,142.1.
The decline in shares comes as Russia's economy continues to face challenges, including high inflation and a decline in oil prices. The country's central bank has been raising interest rates to combat inflation, which has also weighed on the stock market.
Elsewhere, the Russian ruble fell to a two-year low against the US dollar, exacerbating the challenges facing Russian businesses. Analysts point to global economic uncertainty as a key factor contributing to the decline in Russian stocks.
'The Russian stock market is highly sensitive to changes in the global economic environment,' said a spokesperson for a leading Russian investment firm. 'As long as the global economy remains uncertain, we can expect to see continued volatility in the Russian market.'
The decline in Russian shares has implications for UK investors with exposure to the Russian market, including those holding Russian stocks or investing through exchange-traded funds (ETFs). 'UK investors should exercise caution when investing in Russian stocks, given the country's economic challenges,' said a spokesperson for a leading UK investment firm.