Berlin — Senior politicians from Germany, Austria, Poland and Estonia on Tuesday raised the possibility of new EU sanctions against Russia to punish it for capturing three Ukrainian vessels at sea, an incident the West fears could ignite wider conflict. Financial markets have responded to the prospect of new western sanctions that could hurt Russia’s economy, though the rouble on Tuesday clawed back some losses from the previous day as investors bet any sanctions would not be swift. After Russia opened fire on and seized three Ukrainian naval vessels on Sunday near Russian-annexed Crimea, both Russia and Ukraine are trying to cast the other side as being in the wrong. President Vladimir Putin told German Chancellor Angela Merkel by phone on Monday that Moscow was ready to provide more details to bolster Russia’s version of events. Moscow says Ukraine deliberately provoked Russia to trigger a crisis. Ukraine, which on Monday night introduced martial law for 30 days in parts of the co...

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