Index provider MSCI said it would drop Russian stocks from its widely-tracked emerging markets indices, warning that the country’s equity market had become “uninvestable” after its invasion of Ukraine resulted in crippling sanctions.
Traders had been waiting on tenterhooks for the decision, which was announced on Wednesday evening following two days of consultations with asset managers, exchanges and other market participants.
Trading in Russian stocks ground to a halt this week, with Russia’s central bank suspending stock and derivatives trading. Moscow also temporarily barred foreign investors from selling their Russian assets.
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