A rebound in air traffic and increased ticket prices caused airlines' bond yields to fall to their lowest level in more than two years. Also, the merger between United Airlines and Continental Airlines might receive a rating upgrade. "People view airline debt as less risky as the economy improves," said Jeff Straebler, a fixed-income strategist at RBS Securities. "With the economy slowly improving, and most people feel that it's going to stay that way, really the big concern is simply oil."
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