intrirs. — The latest news from America is to the 29th ult.,
and the principal topic of discussion was the possibility of compromise. The assertion that proposals of peace had been received was officially de- nied by the Secretary of State, but the Republican journals, indig- nant at the slow progress of the war, reaffirm their statements. The New York Herald, organ of the Democrats, makes the following pro- fligate proposal:
" Instead of shedding the blood of our fellow-men, let us, North and South, unite to resent this threatened interference on the part of England, and to with- draw San Domingo from the greedy grasp of Spain. Let half of the Northern i
and half of the Southern army join hands in a common cause, and proceed directly to drive the British power out of Canada, and after that to drive the Spanish power out of San Domingo. We have the strength to do it, and why should we not have the will? What would sooner promote the reconciliation of the North and South, and make loyal the rebellious ranks? Let us, in view of foreign war and prestige, settle our differences and vindicate our national honour. We admit that, if we invade Canada, we shall have to fight the British fleet; but as that seems inevitable in any case, we might as well be on the aggressive as the de- fensive side. Why should we waste our strength and imperil our greatness by domestic strife, which exposes us to all the dangers that now menace us? Let us combine against the common enemy, and dispute the supremacy of the Mistress of the Seas. We have had enough of British treachery, and we are indeed a suicidal people if we remain so divided among ourselves as to become the prey of a Power that would gladly hail our utter dismemberment and ruin." This may be taken as a sign that the Herald is aware England will not assist the South, as it had hoped and believed. Congress has met, and the President's Message will contain a full exposition of his policy. Meanwhile the central force of the North, lying in and around Washington, amounts to fifty-six thousand men, of whom fifteen hundred are regulars and six hundred marines. It has been found necessary to arrest Mr. Kane, Marshal of Baltimore, and
secret chief of the Secessionists, in whose house large stores of arms were discovered. The local police commissioners, in revenge, disbanded the police, who were replaced by soldiers under the com- mand of a provost-marshal. A skirmish had occurred on the Poto- mac, in which the Federalists were defeated. The commander of the cutter Freeborn had thrown up breastworks at Maltheras, and was returning to the Freeborn for cannon, when he was attacked by fifteen hundred Confederates. The Federalists endeavoured to swim to the vessel, and the commander opened fire, but only a sailor and the captain were killed. Various small skirmishes are reported, but no- thing of any moment.
From the South we learn that Harper's Ferry was evacuated be- cause the position was untenable, and that an ordinance legalizing a guerilla war against the Western Virginians had passed the State Legislature. The New or Federalist Government of the State has, however, been acknowledged at Washington, and General Pierpoint, of Marion county, elected governor. Large appropriations for the war had been made by the Southern Congress, including 29,130,000 dollars for the pay of one hundred regiments of infantry. The banks have been relieved from specie payment, and General Pillow has for- bidden the payment of any debts to the North. Mr. Russell has left the South, and wrote last from Cairo. In his last letter, he com- pletely confirms the worst accounts of the lawlessness of the South, which, he says, is governed by mob ruffianism, and the scene of hourly unchecked murders. Property is safe, but no man's life.
The latest accounts, dated the 29th June, informs us that it is in- tended to occupy Richmond before the 20th July, and to ask Con- gress for a loan of fifty millions sterling, at seven per cent., for a great increase to the regular army, and a National Guard of one hundred thousand men."
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