Posted on Mar 05, 2021
The Russian ruble sank Friday morning on reports that the UK and US are considering a second round of tough sanctions against Russia over the poisoning and jailing of Kremlin critic Alexei Navalny.
Bloomberg reports Washington and London could be preparing to slap asset freezes and travel bans on Russian oligarchs deemed supporters of the Kremlin and put new restrictions on trading Russia’s government debt.
Placing more restrictions on Russia’s sovereign debt has been dubbed the “nuclear option,” as it could trigger a multibillion dollar sell-off of Russian bonds and hike borrowing costs for the Kremlin.
At the time of writing, the ruble was trading at 74.5 against the US dollar.
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