- Ex-Dutch football star Johan Neeskens dies
- Man Utd battling to improve fortunes, says Evans
- What is microRNA? Nobel-winning discovery explained
- Masood, Abdullah centuries lift Pakistan to 328-4 in first England Test
- Hurricane Milton strengthens fast, threatens Mexico, Florida
- Tunisia's President Saied set for landslide election win
- Barca hoping to return to Camp Nou 'by end of year'
- Trump to open second golf course at Scotland resort in summer 2025
- Super-sub Jhon Duran rewarded with new Aston Villa deal
- US duo win Nobel for gene regulation breakthrough
- Masood hits first ton for four years to power Pakistan to 233-1
- Fritz wins delayed match to reach Shanghai Masters third round
- Naomi Osaka pulls out of Japan Open with back injury
- Weather may delay launch of mission to study deflected asteroid
- China to flesh out economic stimulus plans after bumper rally
- Artist Marina Abramovic hopes first China show offers tech respite
- Asian markets track Wall St rally on US jobs data
- Pakistan 122-1 at lunch in first England Test
- Kazakhs approve plan for first nuclear power plant
- World marks anniversary of Oct. 7 attack on Israel
- 'Second family': tennis stars hunt winning formula with new coaches
- Philippines, South Korea agree to deepen maritime cooperation
- Mexico mayor murdered days after taking office
- Sardinia's sheep farmers battle bluetongue as climate warms
- Japan govt admits doctoring 'untidy' cabinet photo
- Israel marks first anniversary of Hamas's October 7 attack
- Darvish tames Ohtani as Padres thrash Dodgers
- Asian markets track Wall St rally on jobs data
- Family affair as LeBron, Bronny James make Lakers bow
- Cancer, cardiovascular drugs tipped for Nobel as prize week opens
- As Great Salt Lake dries, Utah Republicans pardon Trump climate skepticism
- Amazon activist warns of 'critical situation' ahead of UN forum
- Mourners pay tribute to latest victims of deadly Channel crossing
- Tunisia incumbent Saied set to win presidential vote: exit polls
- Phillies win thriller to level Mets series
- Yu bags first PGA Tour win with playoff win
- PSG held by Nice to leave Monaco clear at top of Ligue 1
- AC Milan fall at Fiorentina after De Gea's penalty heroics
- Lewandowski treble for leaders Barca as Atletico held
- Fresh Israeli strikes hit south Beirut
- Sucic stunner earns Real Sociedad draw against Atletico
- PSG draw with Nice, fail to reclaim top spot in Ligue 1
- Gudmundsson downs AC Milan after De Gea's penalty heroics for Fiorentina
- 'Yes' vote prevails in Kazakhstan nuclear plant vote: TV
- 'Difficult day': Oct 7 commemorations begin with festival memorial
- Commemorations begin for anniversary of attack on Israel
- Lewandowski hat-trick powers Liga leaders Barca to Alaves victory
- 'Nothing gets in way of team,' says Celtics' MVP hopeful Tatum
- India maintain Pakistan stranglehold as Windies cruise at Women's T20 World Cup
- 'We will win!': Mozambique's ruling party confident at final vote rally
CMSC | -0.02% | 24.695 | $ | |
SCS | -1.35% | 12.797 | $ | |
BTI | -0.23% | 35.21 | $ | |
GSK | 0.51% | 39.02 | $ | |
RIO | -0.07% | 69.65 | $ | |
CMSD | -0.11% | 24.785 | $ | |
NGG | -0.96% | 65.87 | $ | |
BP | 0.9% | 33.18 | $ | |
AZN | -0.16% | 77.35 | $ | |
RYCEF | 0% | 6.98 | $ | |
BCE | 0.04% | 33.725 | $ | |
RBGPF | -1.16% | 60.1 | $ | |
BCC | -1.58% | 136.738 | $ | |
RELX | -0.9% | 45.875 | $ | |
JRI | -0.15% | 13.26 | $ | |
VOD | 0.22% | 9.681 | $ |
Russia facing tough US sanctions, but avoids some severe steps
Russia was hit with painful new sanctions Thursday after it invaded Ukraine, but the United States and its allies stopped short of imposing even tougher measures to punish Moscow.
The sanctions target Russia's two largest banks, which will have their assets frozen and will be cut off from US dollar transactions, while state energy giant Gazprom and other major companies will not be able to raise financing in Western markets.
In addition, the allies imposed export controls on high-tech items aimed at crippling the country's defense and aerospace sector, while Washington targeted another group of Russian oligarchs.
"This is going to impose severe cost on the Russian economy, both immediately and over time," US President Joe Biden said in an address at the White House.
However, the penalties fell short of what some observers were expecting, including failing to cut Russia off from SWIFT, the global messaging system used to move money around the world.
That would have hindered the country's ability to profit from the global energy market, which operates largely in US dollars.
"It is always an option but right now that's not the position that the rest of Europe wishes to take," Biden told reporters.
But he said "the sanctions we've imposed exceed SWIFT. The sanctions we imposed exceed anything that's ever been done."
And Biden said penalties directly targeting Russian leader Vladimir Putin remain an option.
"It's not a bluff, it's on the table," he said in response to a question.
- 'Piggy bank' protecion? -
Moscow has taken steps to shield its economy after it was hit with sanctions starting in 2014 when it invaded and annexed Crimea in southern Ukraine, including stockpiling cash and gold.
Russia's public debt amounts to just 18 percent of the country's GDP, far lower than most major economies, and it has foreign reserves of $643 billion as of the end of last week, according to official data.
Elina Ribakova of the Institute of International Finance, a global banking association, told AFP that the stockpiling was "a very deliberate shift in macroeconomic policy to accommodate geopolitical ambitions."
"They have a piggy bank that can protect them," and support the economy even if they go into deficit," she said.
IIF Executive Vice President Clay Lowery said Russia will feel the pain, and while some steps were omitted there is room to escalate.
"The bottom line is that these sanctions will have a significant impact on Russia's overall economy, and average Russians will feel the cost," Lowery, a former senior US Treasury official, said in a statement.
The sanctions target Sberbank and VTB Bank, the country's two largest accounting for about half the banking system and "$46 billion worth of foreign exchange transactions globally" every day, the Treasury said.
And the Commerce Department said the coordinated export controls mean "denial on sensitive items Moscow relies on for its defense, aerospace, and maritime industries."
Restricted items include semiconductors, computers, telecommunications, information security equipment, lasers, and sensors.
H.E.Young--AMWN