No, you haven't missed anything. What you're doing is correct, but you may have to wait for a moment before you start to drag, depending on how much memory your machine has. (Photoshop swaps bits of itself in and out based on how much memory is available and how much it needs. This can occasionally cause some user interactions to fail briefly, then work thereafter.)
And you do have to click quite precisely on that center dot!
Other troubleshooting things I would do, if that's not working:
Copy the layer and see if the copy has the same problem.
Select and copy the shapes, then paste to a new layer.
Select and copy the shapes to a new document. (Copy back to your original and delete the rogue layer if that clears it.)
Delete Photoshop preferences and try again.