The Russian rouble jumped to a near seven-year high against the dollar on Moscow Exchange on Tuesday, supported by capital controls and the prospect of favourable month-end tax payments.
At 0719 GMT, the rouble was 1.1% stronger against the dollar at 55.01 RUBUTSTN=MCX. It earlier touched 54.83 per dollar, its strongest mark since June 2015.
Against the euro, the currency gained 1.8% to trade at 57.80 EURRUBTN=MCX, nearing a multi-year high.
The rouble, which has become the world's best-performing currency this year, is steered by Russia's high proceeds from commodity exports, a sharp drop in imports and a ban on households withdrawing foreign currency savings.
Top policymakers used Russia's annual economic forum in St. Petersburg last week to highlight the rouble's recent strength. There are concerns this could weigh on the economy as it tips into recession amid harsh sanctions over what Moscow calls a "special military operation" in Ukraine.
"At the start of the trading day, the Russian market may continue its upward movement due to the lack of significant external and internal drivers for selling," Veles Capital said in a note.
The rouble is buttressed by companies that need to pay taxes early next week. For export-focused firms, that means converting dollar and euro revenue into roubles.
Russian stock indexes were higher.
The dollar-denominated RTS index was up 1.4% at 1,376.3 points, its highest since Feb. 21, shortly before Russia sent tens of thousands of troops into Ukraine.
The rouble-based MOEX Russian index was steady at 2,404.9 points.