Which 1907 U.S. market panic was contained after J. P. Morgan organized private financial support?

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The 1907 U.S. market panic was the Panic of 1907.

The crisis began after an unsuccessful attempt to corner the shares of United Copper Company. When the scheme failed, depositors withdrew money from related banks, and fear spread through trust companies and financial markets. The New York Stock Exchange also suffered a severe loss of liquidity.

J. P. Morgan personally helped coordinate emergency lending and persuaded other financiers to provide funds. His intervention helped prevent a wider collapse, although the episode exposed the weakness of relying on private bankers during a national financial emergency.

The Panic of 1907 became an important argument for creating a central bank. The Federal Reserve System was established in 1913. This panic is distinct from the Panic of 1873 and the Panic of 1893, which were earlier U.S. financial crises with different triggers.

Source: Wikipedia · fact-checked Oct. 2026

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