Huge Call Spread Trades on Harmony Gold (HMY)

Shares of Harmony Gold Mining Company Limited HMY are trading higher on the session by 1.06%, at $14.25. The name has been in rally mode for the past the three months, jumping up from a recent low near $10.50. A large call spread hit the tape in the name not long ago. The May $15/16 call spread traded 10,000 times, for $0.25; volume vastly exceeded the open interest on both strikes. This indicates fresh positioning. This trade coincided with a very large spike in shares volume (~192,000 shares). This was likely a delta-neutral trade on the name, betting that shares remain volatile over the next few months. Harmony Gold Mining Company Limited is engaged in underground and surface gold mining and related activities, including exploration, processing and smelting. As at June 30, 2010, its mining operations reported total probable reserves of 48.1 million ounces, primarily from South African sources.