18 JULY 1863, Page 2

Juarez has thrown up his hand. On the 31st May

the President of Mexico quitted his capital, and retired to San Luis do Potosi, in the hills, with all the members of his Government and the national treasure. The troops were posted at Cuernevoca, some miles out of Mexico, there to commence a system of guerilla resistance. The French army entered the capital on 5th June, and received the con- gratulations of the Church party, who will find in a very few weeks that they have exchanged the log for the stork. There is a disposition in France to underrate the im- portance of General Forey's success, but with the capital and the coast in his hands, Napoleon is master of most of the Mexican revenue, and may carry out the reduction of the country at leisure. M. de Saligny is spoken of as the pro- bable civil governor, and there are rumours- that Mexico will shortly be declared a French colony. The great difficulty of the invaders will be to create a party, for the clericals will not help them without concessions no Frenchman ever can bring himself to make, and without a party Mexico will be a second and more expensive Algeria. Necessity will, we greatly fear, compel Napoleon to destroy the equality of races, and raise the whites to the exclusive power they held under the viceroys. That bribe might tempt them to aid, but even that is doubtful.