The Hellenic Capital Market Commission will investigate transactions in Athens Stock Exchange that led to significant loses on bank shares on Wednesday. The commission that announced the investigation on Thursday said it will focus on possible “short-selling manipulation.”
Speaking to Athens news agency radio, President of HCMC Charalampos Gotsis said that there were movements on Wed that were largely unjustified as there was not any particular extraordinary event that could lead to such a plunge.”
Asked whether the pressure on ASE on Wed was not due to “speculative moves” as the Greek government said but rather to a systemic weakness of the systemic banks to convince about their capital adequacy and to exclude the possibility of the need to raise new capital by end of 2018, Gotsis pointed out at the stress tests.
The stress tests in May showed that the capital adequacy was very good, the HCMC president said adding that there were some consultation about a particular bank about which there are moves and discussions about improving its capital.
“I think this was a very negative issue that led to the significant plunge on Wed,”Gotsis said.
He stressed that the HCMC cannot make any scenarios, it just has to wait for the final results of the investigation.
“Whenever there are such intense fluctuations that affect the market, we look into what has happened,” he added.
Whatever happened on the Black Wednesday, fact is today is Green Thursday with the General Index to have closed at 676,36 and +1.43%.
