“There is still uncertainty concerning the activation of article 50 of the Lisbon Treaty,” which describes how a country can leave the EU, the source said in a telephone interview on Monday. “The Brexit uncertainty however affects Cyprus less than other periphery countries”.

The source attributed the increase of the Cypriot government bond yields to the general lack of liquidity for Cypriot securities, as a result of which the number of buyers and sellers is limited.

The yields of Greece’s 10-year bonds rose on Monday morning to 8.31% from 7.54% on Friday, according to a Bank of Cyprus report seen by the Cyprus Business Mail. The yields of Italian 10-year bonds stood at 1.55% on Monday morning compared to 1.39% on Friday. German 10-year ‘Bunds’, saw their yields retreat to -0.05% today from 0.09% on Friday.

“Markets have calmed down today,” the source continued. “Asian exchanges closed slightly above Friday while stocks at European markets are around 0.5% below. There is no panic for the moment”.

At the Cyprus Stock Exchange, the Bank of Cyprus share was traded at €0.151, up 1.3%, while that of Hellenic Bank fell to €0.83 which is 3.8% below the last value from Friday. Revenue at around 13:30 was below €100,000.

Source: Cyprus Mail