Financial Panic of 1907: A six-week stretch of runs on banks in New York City and other American cities in October and early November of 1907. Triggered by a failed speculation that caused the bankruptcy of two brokerage firms. But the shock that set in motion the events to create the Panic was the earthquake in San Francisco in 1906. The devastation of that city drew gold out of the world’s major money centers. This created a liquidity crunch that created a recession starting in June of…
"Wall Street is the only place that people ride to work in a Rolls Royce to get advice from those who take the subway." — Warren Buffett (1930- ) Quoted by Egbert Sukop in The Money Adventure (1998) — Image: [Or drive a Lozier to work and get advice from trolley dodgers] Crowds at Federal Hall on Wall Street during the Panic of 1907 (October 1907) — #WallStreet #financing #money #investment #WarrenBuffett #quoteoftheday
Wow. Who missed the TITANIC? J. Pierpont Morgan: The legendary 74-year-old financier, nicknamed the “Napoleon of Wall Street,” had helped create General Electric and U.S. Steel and was credited with almost singlehandedly saving the U.S. banking system during the Panic of 1907. “Monetary losses amount to nothing in life,” he told a visiting New York Times reporter days after the sinking. “It is the loss of life that counts. It is that frightful death.”
"Before reading The Panic of 1907, the year 1907 seemed like a long time ago and a different world. The authors, however, bring this story alive in a fast-moving book, and the reader sees how events of that time are very relevant for today's financial world. In spite of all of our advances, including a stronger monetary system and modern tools for managing risk, Bruner and Carr help us understand that we are not immune to a future crisis."