Also last month, Sberbank CEO German Gref, one of Russia’s top banking chiefs, said the economy was in “technical stagnation,” And in June, Economy Minister Maxim Reshetnikov warned that Russia was “on the brink” of a recession.

Waves of Russian missiles and drones battered Ukraine overnight on October 22, killing six people, including two children, and wounding dozens more. The large-scale bombardment occurred just hours after reports that a planned meeting between Russian President Vladimir Putin and U.S. President Donald Trump in Budapest, Hungary, had been canceled.

German Chancellor Friedrich Merz said he’s optimistic that the US will exempt Rosneft PJSC’s German unit from Washington’s latest sanctions against Russia.

Oil prices jumped around 2.5% on Thursday, extending gains from the previous session, as supply concerns resurfaced after the United States imposed sanctions on major Russian oil suppliers Rosneft and Lukoil over the Ukraine war.

While it is not clear whether Washington will actually carry out any of those moves in the immediate term, it shows there is a well-developed toolkit within the administration to up the ante further after Trump imposed sanctions on Russia on Wednesday for the first time since returning to office in January.

The sanctions could be imposed if Russian President Vladimir Putin shows no interest in meaningful negotiations and continues to delay ending Russia's war in Ukraine, Reuters reported.