CALLS were growing yesterday for bourse authorities to investigate sharp swings in share prices after the market experienced one of its more pronounced drops in recent days on volumes that spiked to a year high.
The market lost 1.13 per cent in a broad-based decline which only investment shares withstood as they have been riding a wave of speculator euphoria for the past two weeks.
With acquisition and merger mania gripping most investors, traded values were pushed to a record £68 million pounds, smashing the previous high of £64.8 million set barely a week ago.
The all-share index settled at 519.36 points, slipping through the 520 level for the first time in three weeks.
Taking its cue from previous sessions, small cap shares high on rumour but short on substance dominated trading.
Dodoni, invariably seen by investors as a target for acquisition or hopping sector from investment into the ‘other’ category, recorded a turnover which edged on the unprecedented £18 million shares.
The company, which has a net asset value of 14 cents, climbed 5 cents to 43.1.
Though not mentioning Dodoni directly, stockbrokers said the Securities Exchange Commission had the obligation to investigate sharp swings in prices without any apparent reason.
Though speculative gambits are nothing new to the market, stockbrokers are worried that this time around things are getting out of hand.
Many have also voiced concerns at investors tipping the balance in their portfolios by dumping banking shares to get on the small-cap bandwagon.
"The peculiar fluctuations in some shares could attract the interest of the Securities Exchange Commission," said Theodoulos Charalambides of Axxia-Plus.
Banking shares gave way to selling pressure, falling 1.4 per cent with losses in Bank of Cyprus and Popular.
BoC’s share was down 10 cent to £8.19 and Laiki fell 17 cents to a last trade of £12.60, while there were smaller downward adjustments to the other two banks in the sector.
Dome Investments scored the highest rise of 10.5 per cent, or one pound, to a last trade of £10.50.
Lemeco Silvex followed with a 14 per cent, or a 67-cent jump to £5.16 after the company announced a 10 way split in the value of its stock to 10 cents each from one pound.
CyTrustees, meanwhile, announced it would offer one bonus share for every four held, or every four warrants. It also announced it would issue one additional warrant for every eight shares held. The decision needs ratifying by shareholders at an extraordinary general meeting on July 12.
