The U.S. financial crisis associated with the bankruptcy of the Philadelphia and Reading Railroad in 1893 was the Panic of 1893.
The Reading Railroad entered receivership in February 1893, and confidence deteriorated further when the National Cordage Company failed in May. Bank runs, railroad collapses, and falling gold reserves placed severe pressure on the U.S. financial system. The New York Stock Exchange also experienced major disruption.
The panic developed into a prolonged depression, with widespread unemployment and business failures. The depression lasted for much of the 1890s and became one of the most severe economic downturns in U.S. history.
The Panic of 1893 is distinct from the Panic of 1873, although both were linked to railroad speculation and financial instability. It also preceded the later Panic of 1907, which helped inspire the creation of the Federal Reserve.