The 1907 U.S. financial panic was called the Panic of 1907.
The crisis began after an unsuccessful attempt to corner the stock of United Copper Company. When the scheme failed, depositors rushed to withdraw money from trust companies connected to the speculators. Several financial institutions collapsed or faced runs, spreading fear through New York markets.
J. P. Morgan helped organize emergency support for banks and trust companies. The panic exposed the United States’ lack of a central bank capable of supplying emergency liquidity. In response, Congress created the National Monetary Commission, whose work contributed to the Federal Reserve Act of 1913.
The Panic of 1907 is sometimes confused with the Panic of 1893, another severe U.S. banking crisis. The later panic is especially important because it directly influenced the creation of the Federal Reserve System.