MOSCOW: The rouble tumbled towards 63 against the dollar on Wednesday, scaling more than two-month lows, and Russian stock markets dived around 10% on opening as President Vladimir Putin ordered the country’s first military mobilisation since World War Two.

Putin said he had signed a decree on partial mobilisation, significantly escalating what Russia calls its “special military operation” in Ukraine, and warned that Moscow would respond with the might of all its vast arsenal if the West continued with what he called its “nuclear blackmail”.

By 0708 GMT, the rouble was 2.6% weaker at 62.18 to the dollar, having dipped as far as 62.7975, its weakest point since July 7.

It had lost 1.7% to trade at 61.61 to the euro and shed 1.5% against the yuan to 8.776.

Russian stock indexes were plunging, with energy giants Rosneft and Gazprom at one point losing around 12%.

Russian rouble up slightly amid dollar liquidity fears

The benchmark rouble-based MOEX index hit its lowest point since Feb.

24, the day Russia sent tens of thousands of troops into Ukraine.

The index was down 5.5% at 2,094.5 points, earlier reaching a low of 2,002.73 points.

The dollar-denominated RTS index was down 8% to 1,061.9 points, its lowest point since April 27.