This is just one of several pots of boiling water on the foreign policy front for the President. The White House has been warning Russia since early June about a new round of sanctions if their actions didn't change they'd be hit with new sanctions -this is making good on that threat. The President says Russia is all talk and no action - when it comes to showing they are committed to trying to end the conflict along the Russia-Ukraine border.
US concerns center around what officials see as Russia's continued support for separatists battling the Ukrainian military.
So the new sanctions will target
--two major Russian banks
--two big energy companies
--and Ukraine separatists
Here's President Obama yesterday at the White House:
"What we are expecting is that the Russian leadership will see once again that its actions in Ukraine have consequences, including a weakening economy, and increasing diplomatic isolation."
Russian President Vladimir Putin responded saying that the US is harming ties between the two countries.
"I am certain that this is harmful to the U.S. Administration and American people's long-term strategic national interests," Putin said according to a Kremlin transcript of his remarks to reporters.
And as a sign that it's not just the US who has growing concern here, Europen Union leaders also announced that they intend to increase sanctions as well.
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