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Trump praises Putin for holding back in US-Russia spy dispute

US president-elect Donald Trump on Friday praised Russian President Vladimir Putin for refraining from retaliation in a dispute over spying and cyber attacks, in another sign that the Republican plans to patch up badly frayed relations with Moscow.

Putin earlier on Friday said he would not hit back for the US expulsion of 35 suspected Russian spies by President Barack Obama, at least until Trump takes office on Jan 20.

“Great move on delay (by V. Putin) – I always knew he was very smart!” Trump wrote on Twitter from Florida, where he is on vacation.In a separate development, a code associated with the Russian hacking operation dubbed Grizzly Steppe by the Obama administration has been detected within the system of a Vermont electric utility, the Washington Post reported on Friday, citing unnamed US officials.

The Russians did not actively use the code to disrupt operations of the utility, the officials told the Post, but penetration of the nation’s electrical grid is significant because it represents a potentially serious vulnerability.

Trump has repeatedly praised Putin and nominated people seen as friendly toward sMoscow to senior administration posts, but it is unclear whether he would seek to roll back Obama’s actions, which mark a post-Cold War low in US-Russian ties.

Trump has brushed aside allegations from the CIA and other intelligence agencies that Russia was behind the cyber attacks. “It’s time for our country to move on to bigger and better things,” Trump said on Thursday, though he said he would meet with intelligence officials next week.

US intelligence agencies say Russia was behind hacks into Democratic Party organisations and operatives before the presidential election. Moscow denies this. US intelligence officials say the Russian cyber attacks aimed to help Trump defeat Democrat Hillary Clinton.

Russian officials have portrayed the sanctions as a last act of a lame-duck president and suggested Trump could reverse them when he takes over from Obama, a Democrat.

A senior US official on Thursday said that Trump could reverse Obama’s executive order, but doing so would be inadvisable.

Russian Foreign Ministry spokeswoman Maria Zakharova called the Obama administration “a group of embittered and dimwitted foreign policy losers.” Should Trump seek to heal the rift with Russia, he might encounter opposition in Congress, including from fellow Republicans.

Republican John McCain, chairman of the Senate Armed Services Committee, said on Friday that Russia must face a penalty for the cyber attacks.

“When you attack a country, it’s an act of war,” McCain said in an interview with the Ukrainian TV channel “1+1” while on a visit to Kiev.

“And so we have to make sure that there is a price to pay, so that we can perhaps persuade the Russians to stop these kind of attacks on our very fundamentals of democracy,” added McCain, who has scheduled a hearing for Thursday on foreign cyber threats.

Read more: Russian Embassy responds to US sanctions with a meme

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