Moscow to treat new USA sanctions as act of economic war

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This latest set of U.S. sanctions was meant to be related to allegations of a nerve gas attack is Salisbury, which Russian Federation denied and for which no proof of their involvement exists.

At a press conference, Russian Foreign Ministry spokesperson Maria Zakharova says: "Talks (with Russia) from the positions of force and with an ultimative language are useless and have no prospects". Russian blue-chip stocks plunged as much as 9%, led by state banks and national airline.

In an early reaction, the Kremlin said the sanctions were illegal and unfriendly, and the USA move was at odds with the "constructive atmosphere" of Trump's and Putin's encounter in Helsinki.

"In this way, the United States is consciously taking the path of further heightening of tensions in bilateral relations that have already been brought practically to zero by their efforts".

USA officials say the order is meant to answer the poisoning of a former Russian spy and his daughter in Britain.

The Russian economy is still reeling from global sanctions imposed on Moscow in 2014 over its actions in Ukraine and a crash in oil prices the same year.

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Russian officials question why Russia would want to attack an ageing turncoat who was pardoned and swapped in a Kremlin-approved 2010 spy swap.

"The mandatory sanctions that follow this determination are key to increasing pressure on Russia", Royce said.

New sanctions are expected to come into effect on or around August 22 following a 15-day Congressional notification period.

The US response may be partly motivated by a desire to be seen to be tough on Moscow after accusations that Mr Trump was too soft on Russian Federation.

Such technologies have often been used in items including electronic devices as well as calibration equipment. Other exemptions could be granted on a case-by-case basis.

Kremlin spokesman Dmitry Peskov called the new sanctions "categorically unacceptable" and "illegal". These could go as far as a ban on Russian airlines using United States airports.

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The measures were welcomed by Britain, but triggered a furious response from Moscow.

The second round of sanctions could cut far deeper, including blocking all American bank loans to Russian entities, an outright ban on USA exports to Russia, and suspension of diplomatic relations.

"Thank you U.S. for standing firm with us on this", Foreign Secretary Jeremy Hunt tweeted. Yulia Skripal was discharged from the hospital in April, and her father was released in May.

In March, two weeks after the attack, Trump signed a statement, along with British, French and German leaders, blaming Russian Federation.

Three months later, Charlie Rowley of Amesbury, England, found a sealed, boxed bottle of perfume and gave it to his girlfriend Dawn Sturgess, who died after spraying the Novichok within on her wrists. Moscow has been blamed for the poisonings, but has denied any involvement.

The ruble is down 14.25% versus the dollar this year.

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Russia's economy had demonstrated it was stable in the face of past sanctions, as well as fluctuations in the oil price, he said in a statement.

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