MOSCOW: The rouble weakened slightly against the US dollar on Monday but remained largely stable after a period of volatility last week following US sanctions on the Russian financial sector imposed on Nov. 22.

By 0900 GMT, the rouble was down about 1% at 107.50 against the dollar, according to over-the-counter quotes from banks.

It was also down about 1% at 14.61 against China’s yuan in trade on the Moscow Stock Exchange.

The rouble lost about 15% against the dollar in what many analysts described as panic buying of foreign currency following the sanctions, but rebounded by around 2% on Nov. 29 after the central bank stopped forex purchases.

Andrei Kostin, CEO of Russia’s second largest lender VTB, told Reuters in an interview on Monday that volatility was the result of an emotional outburst and that he expected the exchange rate to stabilise.

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“In 2022, if you remember, the dollar reached up to 120 roubles. A correction is already happening, the dollar is slightly above 100, and I think it will remain at this level,” Kostin said.

One-day rouble/dollar futures, which trade on the Moscow Stock Exchange and are a guide for the over-the-counter exchange rate, were up 1.3% at 107.43.

The Russian central bank set an official exchange rate at 107.31 to the dollar.