Rouble recovers as Russia sends troops to breakaway regions

MOSCOW: The rouble rebounded from its weakest level in nearly two years to strengthen in volatile trading while Russian stocks slumped on Tuesday after Moscow sent troops to two breakaway regions in eastern Ukraine after recognising them as independent.

Putin's announcement on Monday drew immediate international condemnation and the West is now expected to announce new coordinated sanctions against

Russia.

These could, for instance, target major financial institutions, block Russia's access to electronics supplies, or curb the operations of its energy firms, Reuters reported

The rouble weakened to 80.97 against the dollar, a level last seen on March 23, 2020, before rebounding to stand 0.9 per cent higher at 79.05 as of 1117 GMT .

That resurgence came as Russia said it would only recognise the regions' independence within the boundaries that the Moscow-backed separatists currently control, and as Ukrainian President Volodymyr Zelenskiy played down the prospect of a large-scale conflict with Russia.