Airline Winners and Losers: Continental Airlines

Shares of airlines rose Friday in contrast to the broader markets, as oil prices fell and investors applauded positive September traffic reports.

Benchmark crude for November delivery was down $1.13 a barrel at $69.69 on the New York Mercantile Exchange, after falling as low as $68.32 Friday morning. The contract added 21 cents to settle at $70.82 on Thursday.

AirTran Airways (AAI Quote) said Friday that its traffic jumped 11% in September as it lured passengers with a string of fare sales in what is traditionally the start of a slow fall season.

A day earlier, Continental Airlines (CAL Quote) said traffic in September rose 7% from a year earlier, giving an upbeat ending to a quarter that started with falling traffic in July and August.

In afternoon trading Friday, the Amex Airline Index rose 2.4% to 27.03.

At the close, leading the airline pack was AirTran Holdings, which gained 27 cents, or 4.7%, to $6.05. Continental Airlines rose 54 cents, or 3.6%, to $15.62.

Elsewhere in the sector, JetBlue Airways (JBLU Quote) added 16 cents, or 2.9%, to $5.63. Delta Air Lines (DAL Quote) added 18 cents, or 2.2%, to $8.32.