The IOUpay Ltd (ASX: IOU) share price is coming back down to Earth after rocketing 55% today.
At the time of writing, the Malaysia-based buy now, pay later (BNPL) provider's shares are up 7.94% to 6.8 cents.
Let's take a look at what drove the company's shares higher before quickly retracing throughout the day.
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What happened to IOUpay shares?
After surging as high as 11 cents in early morning trade, the IOUpay share price was temporarily paused.
This came as the ASX issued the company a speeding ticket.
IOUpay took the next several hours to respond to a query regarding its ASX price movement and volume.
The company's management stated it wasn't aware of why the company's shares accelerated to astronomical levels.
However, it did note that its board believes shareholders may be "price-factoring" in relation to the company's non-executive chair appointment.
It also mentioned that other previous announcements could likely be contributing to its shares rising today.
Nonetheless, the sharp uptick comes amid a backdrop of extreme market volatility on the ASX over the past couple of months.
Investors have expressed their concerns regarding the downbeat economic outlook due to rampant inflation and aggressive interest rate hikes.
IOUpay share price summary
It has been a difficult 12 months for IOUpay shares, tumbling more than 70% as investors flee the BNPL sector.
When looking year to date, the company's shares are down roughly 56%.
Based on valuation grounds, IOUpay commands a market capitalisation of $37 million.
