MOSCOW: The Russian rouble pared earlier gains Tuesday, heading away from its highest since mid-March against the dollar, while rising oil prices pushed up the MOEX stock index to a record.

At 1521 GMT, the rouble was 0.1pc weaker against the dollar at 73.49. Earlier it neared Tuesday's 73.10 high, its strongest since mid-March, excluding a short-lived move to 72 on the Moscow Exchange on May 7 that traders said was likely a trading error.

It eased 0.3pc to trade at 90.02 versus the euro.

The rouble saw support from hopes that a June 16 summit between Russian President Vladimir Putin and U.S. President Joe Biden could improve strained ties between the two countries, even as Moscow promised to send "uncomfortable" signals to Washington ahead of the meeting.

"Russia-bashing has quieted and some cautious optimism has emerged that some semblance of a rapprochement in Russia-U.S. relations will come from the Putin-Biden summit," said BCS Global Markets in a note.

The rouble could test the 72 mark against the greenback in June but may weaken towards 74 by the end of the month, Otkritie bank said.

Russian stock indexes climbed as Brent crude oil, a global benchmark for Russia's main export, was up 1.6pc at $70.40 a barrel, a near three-month high.

Oil prices got a boost from growing optimism over the fuel demand outlook during the summer driving season of the United States, the world's top oil consumer.

The dollar-denominated RTS index was up 1pc at 1,613.9 points, its strongest mark since January 2020.

The rouble-based MOEX Russian index was 1.1pc higher at 3,763.7 points, after hitting an all-time high of 3,784.59.

"Rally in commodity prices provide a catalyst to Russian cyclical stocks," Alfa Bank said. It said the stronger rouble is positive for "domestic-orientated stocks such as retailers and utilities."