(Reuters] – On Tuesday the Russian rouble lost ground against the euro after the central banks relaxed some capital control restrictions that had been the key driver of its strength for the past weeks.

Despite a severe economic crisis, the rouble is now the most stable currency worldwide. This may be due to artificial support Russia provided in February when it placed financial protections on its financial sector.

At 0741 GMT the rouble was 0.7% lower at 63.89 against USD, moving from its Friday high of 62.6250, reached early February 2020.

The rouble against the euro fell 1.1% at 66.50. It is now hovering close to its highest level since mid 2017 of 64.9425, which it reached last week.

Following the increase in the threshold for cross-border transfers by the central banking, gains were pared off the ruble. Russian residents as well as non-residents of friendly states can now channel foreign currency overseas at amounts equivalent to 50K per month.

It is not likely that the bank’s decision will immediately alter the balance of power on the market. Export-oriented companies must convert 80% of revenues since the central bank cannot intervene after the West frozen about half its foreign and gold reserves.

The latest action by the central bank could indicate that the current phase of the rouble rally may be ending soon, BCS Brokerage stated.

Stock market: The dollar-denominated RTS Index lost 0.2% at 1,171.6 points while the MOEX Russian-based MOEX index gained 0.5% at 2,377.6.

Analysts at Promsvyazbnk said that the MOEX may rise to 2,400 in a single day.

For Russian equities guide see

Russian Treasury Bonds