Iran's war is turning into apocalypse! Will the banks go out of business soon due to the liquidity crisis?

by Brian Shilhavy
Health Impact News

The Iran war turned apocalyptic this weekend as both sides allegedly began attacking and destroying desalination plants that convert seawater into potable water, which is essential for life in the desert and desert states of the Persian Gulf (I lived there for 4 years in the 1990s).

This is much more important for rich Arab countries than for Iran, because Iran uses only a tiny fraction of their drinking water from desalination. Here’s a graphic from Al Jazeera showing how dependent Gulf countries are on water from desalination:

Iran claims that the US started this by bombing one of their water treatment plants, which then led to an attack on a desalination plant in Bahrain.

These water treatment plants are not only important for providing clean drinking water, but they are also needed to generate large amounts of fresh water to run the new AI data centers in these desert kingdoms.

Breaking: Iran drone strikes Bahrain refinery as worst-case scenario unfolds

From data centers in the Persian Gulf region to water treatment plants, the worst-case scenario has now emerged in the Middle East conflict, with no borders when it comes to civilian infrastructure.

We warned earlier last week that after correctly predicting data centers would be targeted, water treatment plants would be next.

Al Jazeera reports that after Iran’s Foreign Minister Seyed Abbas Aragchi claimed that the US targeted a water treatment plant in Iran, an Iranian Islamic Revolutionary Guard Corps drone then targeted a salt treatment plant in Bahrain.

Al-Jazeera also commented the importance of water purification plants to the Persian Gulf region:

The GCC countries have about 60% of the world’s desalination capacity and produce about 40% of the world’s desalinated water through more than 400 plants.

Most GCC member states rely heavily on desalination: 90% of Kuwait’s drinking water, 86% in Oman, 70% in Saudi Arabia and 42% in the UAE.

Saudi Arabia is the world’s largest producer and its capacity will reach 8.5 million cubic meters per day by 2025 after an investment of $80 billion.

Full article.

Meanwhile, in a big financial news that was released on Friday, but barely mentioned in the corporate media, while the US stock market fell sharply. BlackRockThe world’s largest hedge fund manager has blocked nearly half of the investors who requested a $26 billion private debt fund from withdrawing their money, a sign of a major liquidity crisis in US markets.

BlackRock just told investors they couldn’t get their money back, and the entire private lending industry is reeling

Here are some other news I posted on our site Telegram channel recently.

Iran’s War Costs $300 Billion in Artificial Costs in the Persian Gulf

I wonder if Trump and his Zionist administration considered the impact it would have on AI and Big Tech when they started this war with Iran. They are investing heavily in building data centers near cheap energy in the Middle East, and Iran seems to understand this.

From Information:

The UAE and Saudi Arabia have been big AI investors and major data center destinations.

The war in Iran is complicating Gulf states’ plans to spend more than $300 billion on data centers, chips and other capital investments, undermining a potential source of funding for power-hungry tech companies.

Countries like the UAE and Saudi Arabia have become major data center destinations. Local companies together with American companies such as xAI, OpenAI, Microsoft, Amazon, Oracle and Google are developing projects that are attracted to the region for cheap energy.

Drone attacks on Amazon’s three data centers in the region suddenly made those projects seem more dangerous. A protracted war could also reduce foreign investment in the region from companies like Brookfield, which is working with numerous Gulf states on AI investments.

OpenAI and xAI have raised money from Gulf states and plan to build data centers in the region, making them more vulnerable to conflict risks than rival Anthropic, which has raised money in the Gulf but is refusing to build large-scale computing facilities.

Saudi Arabia’s Crown Prince Mohammed bin Salman recently said the country plans to spend $50 billion on semiconductors in the short term, and the United Arab Emirates could spend more than $30 billion on Nvidia chips by next year, based on current market prices.

If regional leaders can’t find a way to continue funding and protecting their data centers, those chips won’t be viable.

The rise in oil prices is fueling talk of an economic doomsday scenario

This is from the financial media representing Wall Street. MarketWatch.

President Trump’s call for “unconditional surrender” by Iran did not help oil markets on Friday

U.S. and global benchmark prices posted their biggest weekly gains on record on Friday. Another week like this will push prices closer to their all-time highs – and invite talk of an economic apocalypse.

Oil prices can have a wide-ranging impact on the global economy—from gasoline, jet fuel, utility and manufacturing costs, to inflation, consumer spending, and employment.

Kathy Kaminski, senior research strategist and portfolio manager at investment advisor AlphaSimplex, said higher prices could increase inflation, hurt consumer purchasing power and slow economic growth. He noted that the increase in inflation can, in turn, complicate the monetary and credit policy, which can directly affect the issues of economic development and employment.

This is what makes the biggest weekly percentage increase for both US WTI and global Brent oil prices a big concern.

In the week ending March 6, April WTI was up nearly 36% and May Brent was up 27%. And as prices rise fast and hard, they are approaching record levels of more than $145 per barrel, last seen in 2008.

According to Goldman Sachs research economists Jessica Rindels and Pierfrancesco May, the impact of higher prices on the US economy will depend on the extent of traffic disruptions in the critical Strait of Hormuz.

Iran rejected the US demand for unconditional surrender

Abbas Aragchi, the Minister of Foreign Affairs of the United States, responded to the request of the President of the United States of America, Donald Trump, to accept Tehran’s acceptance of something other than “unconditional surrender”, saying that Iran will continue to defend itself and has no intention of surrendering.

(If this YouTube video doesn’t load, there is backup here.)