Brent crude oil, a global benchmark for Russia's main export, was down 1.1% at $73.28 a barrel, but not far from the 2021 high of around $77.84 hit earlier this month
Rouble was 0.4% weaker against the dollar at 73.51 and shed 0.3% to 87.19 versus the euro .
The rouble is set to face more downside pressure from the finance ministry that will increase its daily buying of foreign currency for state coffers in July.
Brent crude oil, a global benchmark for Russia's main export, was down 0.8pc at $66.11 a barrel, falling for a third straight day, which did not stop Russian stocks indexes from advancing.
Against this backdrop, Russia picked three major banks to organise a Eurobond issue. The placement of euro-denominated bonds can take place this week, sources told Reuters.
"I think Russian sovereign Eurobond will be very well received," said Sergey Dergachev at UIP in Frankfurt, citing good credit quality and relatively low volatility.
The rouble was 0.6% stronger against the dollar at 73.88. It briefly soared as high as 72.0025 on the Moscow Exchange on Friday, its strongest since late July.
The central bank, which had been widely expected to raise rates to rein in high inflation due to the rouble's weakness, hiked it by a bigger-than-expected 50 basis points to 5%.
"It creates room for the undervalued rouble to rebound as heightened geopolitical risks are pared back in the near-term," said MUFG Bank in a note.
The central bank, which had been widely expected to raise interest rates to rein in high inflation due to the rouble's weakness, hiked by a bigger than expected 50 basis points to 5%.
Against the euro, the rouble gained 0.3% to 90.37 , nearing a more than two-week high.
US Treasury yields continued to retreat as markets focussed on the Federal Reserve's insistence of maintaining monetary support for an extended period.
Rouble was 0.4% stronger against the dollar at 77.09, moving away from its weakest level since Nov. 5 of 78.0450, which it touched last week.
The rouble decoupled recently from moves in other emerging markets as well as the price of crude oil, Russia's key export, as it was hammered by fears about the situation in Ukraine.
Brent crude oil, a global benchmark for Russia's main export, was steady at $62.75 a barrel, but that did not keep the Russian currency and stocks from falling in the past few days.