Spain's CNMV places ban on short-selling of Liberbank

Spain's stockmarket regulator issued a ban on short-selling of shares in Spanish lender Liberbank following recent sharp falls in its stock price.

The CNMV said the ban was in response to the sharp decline and heightened volatility in the share price despite the absence of any negative news, new or pending, from the lender.

Together with the likelihood that recent share price movements were the result of the recent rescue of Banco Popular by the Single Resolution Board, the CNMV decided the current ban was appropriate.

The prohibition on short-selling or similar operations on shares of Liberbank was set for one month, until 23:59 GMT of 12 July, with the possibility that they might be extended.

As of 1043 BST shares in Liberbank were 28.53% higher to €0.87.