J. P. Morgan organized the 1907 Wall Street rescue by gathering bankers at his New York library.
The Panic of 1907 began after a failed attempt to corner the stock of United Copper Company. Depositors withdrew money from banks and trust companies, and the crisis spread through financial institutions in New York. The Knickerbocker Trust Company failed after a run, intensifying public fear.
Morgan used his authority and personal resources to coordinate a private rescue. Bankers and trust executives were brought together at his library on East 36th Street, where they reviewed balance sheets and arranged emergency loans. The effort helped stabilize the banking system.
The panic demonstrated how dependent the United States was on private financiers during a crisis. It also helped create political support for a central bank. The Federal Reserve System was established in 1913, partly in response to the weaknesses exposed by the panic.