The U.S. financial panic that began with the Knickerbocker Trust Company's collapse in 1907 was called the Panic of 1907.
The crisis began after a failed attempt to corner the stock of United Copper Company in October 1907. Depositors then withdrew money from Knickerbocker Trust, one of New York's largest trust companies, and the institution suspended operations on October 22. Fear spread through banks and financial markets.
J. Pierpont Morgan organized emergency support from bankers and helped prevent a wider collapse. The panic exposed weaknesses in the U.S. banking system, which lacked a central bank. Congress responded by creating the National Monetary Commission, whose work helped lead to the Federal Reserve System in 1913.
The event is sometimes confused with a single stock-market crash, but it was a broader banking and credit panic involving trust companies, banks, and the New York Stock Exchange.