Panic of 1893
The Panic of 1893 was a great decline in stock prices, string of bank closures, and overall downtown of the United States economy. In the depths of the panic in 1895 J.P. Morgan demanded a meeting with President Grover Cleveland and was granted one. In this meeting Morgan comprised a plan for the United States to sell 3.5 million ounces of gold to the British. His plan was successful and the 30 year bonds were sent to England with no problem. This was the first time Morgan used his keen business knowledge for the good of the country. Morgan achieving a meeting with the President illuminates his immense power in the time. It also shows how he was smart enough to have an entire government indebted to him, allowing him to continue in business owed a favor by the American people.
Morgan’s influence in Washington was felt in the 1896 election as wall street, disgruntled with Grover Cleveland’s handling of the panic, threw their financial support behind William Mckinley who was elected in 1896. This is an incredible example of Morgan’s power, not only to influence a President, but then those actions by the President being so influential he lost his following reelection bid.
1. Ben Macri, Vassar. "The 'Morgan Bonds'." 1896. 1999. Accessed April 9, 2019. http://projects.vassar.edu/1896/morganbonds.html.