Biden and Europe sit on one key sanction against Russia: The SWIFT network

U.S. and European officials are holding one key financial sanction against Russia in reserve, choosing not to boot Russia off SWIFT, the dominant system for global financial transactions.

The Russian invasion of Ukraine caused a barrage of new financial sanctions Thursday. The sanctions are meant to isolate, punish and impoverish Russia in the long term. President Joe Biden announced restrictions on exports to Russia and sanctions against Russian banks and state-controlled companies.

But Mr. Biden ruled out removing Russia from the SWIFT banking system despite calls to do so from a number of U.S. lawmakers, world leaders and Ukrainian officials. While the president pointedly played down the need to block Russia from SWIFT, he also said it's "always" still an option, although he added, "right now that's not the position that the rest of Europe wishes to take." He also suggested the sanctions being put in place would have more teeth.