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Russia says EU 'against peace' as US backs new sanctions

The Russian Foreign Ministry said the European Union has "made its choice against" a peace process in Ukraine by approving tougher sanctions against Russia.

President Barack Obama said the United States will join the EU in imposing sanctions on Russia's financial, energy and defence sectors after Moscow sent troops into eastern Ukraine last month.

David Cameron has spoken to European leaders and agreed to push ahead with the sanctions by the end of the week, his spokesman has confirmed.

After the announcement the Russian rouble reached a new historic low against the dollar.

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US: Sanctions are 'most effective tool' against Russia

State Department spokeswoman Jen Psaki has said the US is considering a "range of tools" to deal with what it sees as Russian aggression in Ukraine.

She said increased sanctions on Russia are "the most effective tool, the best tool."

"A military solution is not what we think is the appropriate approach so we're taking every tool that we can to see if we can reach a solution here through diplomatic means," she said.

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