Sen. Elizabeth Warren (D-Mass.) didn't mince words over the weekend. She blamed President Donald Trump's ongoing conflict with Iran for the collapse of budget airline Spirit Aviation Holdings Inc. (OTC: FLYYQ), which stopped flying on Saturday.

"Spiking fuel prices from Trump's war was the nail in the coffin for twice-bankrupted Spirit airline," Warren posted on X. She also noted that a proposed merger with JetBlue Airways Corp (JBLU) fell through after a judge appointed by former President Ronald Reagan ruled it illegal. "Republicans are desperate to shift blame from higher costs hitting families," she added, pushing back against GOP criticism that the failed merger under the Biden administration was to blame.

Spirit's demise came after its creditors refused to back a U.S. government rescue plan, as tensions with Iran escalated. Other low-cost carriers are feeling the heat too. Frontier Group Holdings Inc. (ULCC) and Avelo have reportedly sought $2.5 billion in relief to cope with rising fuel costs. According to Airlines for America, jet fuel prices hit $4.13 per gallon on Friday, down from $4.88 in early April but still painfully high for budget airlines.

Meanwhile, the White House launched "Project Freedom," a humanitarian initiative to guide stranded ships through the Strait of Hormuz. Trump also said his team is reviewing a new Iranian proposal to end the war but expressed skepticism about whether it would meet his demands.