Washington: In an unusual move, the White House on Tuesday recommended that investors avoid Russian stocks as the political rhetoric heated up in the dispute over Moscow declaring Ukraine's Crimean peninsula part of Russia.

''I wouldn't, if I were you, invest in Russian equities right now, unless you're going short,'' White House spokesman Jay Carney said, half-smiling, at a press briefing.

White House press secretary Jay Carney in a media briefing. Credit:AP

Stressing that the United States was preparing a new round of sanctions, Mr Carney told reporters that the long-term impact of Russia's bid to annex the Crimea region of Ukraine would have an impact on Russia's economy.