Russia starts navy drills in Barents Sea - report

More than 20 ships from Russia's Northern fleet have started drills in the Barents Sea, the Interfax news agency cited the fleet as saying on Tuesday.

The exercises in the Arctic waters between Russia and Norway are part of broader drills which have prompted fears that Moscow may invade Ukraine. Russia denies such plans.

Russian markets rose strongly on Tuesday on reports that some Russian units were pulling back from areas adjacent to the Ukrainian borders.