Russia's ruble crashes 10% to a new record low as the US and Europe consider a ban on its energy exports

The ruble fell to a new all time low on Monday due to fears that a US oil embargo could hurt the country's economy.

The ruble fell 10% to as low as 135.49 against the dollar, after the US and its allies discussed further retaliation against Russia.

The level puts 1 ruble at seven-tenths of a cent. During the 1998 Russian financial crisis, the Russian currency plunged 70%, but this year it is down 38%.

The news of a potential ban on Russian oil imports by Europe and the US has had a severe impact on the currency. He said that the country may have to look for other export destinations for its oil.

Secretary of State Antony Blinken said Sunday that the US and its European partners are discussing banning Russian oil imports while maintaining a steady global supply of the commodity.

Western allies are reluctant to ban oil imports from Russia because it could result in higher energy costs for consumers. Pressure has been mounting on policymakers to prohibit imports in response to the aggression ordered by Russian President Vladimir Putin.

Western sanctions were described by Putin as a declaration of war on Saturday.

Nancy Pelosi supports banning the oil from Russia.

On Sunday, Moody's cut Russia's credit rating to its second-lowest status, which means that securities in the country are likely or very near a default. That is seen as a factor in the decline of the ruble.

The ruble plunged in response to previous sanctions imposed by Western nations, as international investors and foreign companies distanced themselves from Russian investments.

Russia's central bank has doubled its interest rates in order to prevent the collapse of the ruble. The move doesn't seem to have stopped the currency from falling further.

The stock exchange in Moscow was closed all last week and will not open again until Wednesday. It will be the longest market closing ever.

The surge in the broader commodities sector has room to run, as war in Ukraine moves into a second week, and the outlook for silver has been upgraded by Swiss bank, which believes it will offer value to investors in the face of the current volatility.