The Lisbon correspondent of the Times agrees with us that
the secession of Matto Grosso will be disastrous for Brazil, and points out a geographical fact which greatly affects the situation. The natural outlet of the vast province is the Paraguay, and as that liver is an affluent of the Plate, and the Plate is controlled by the Argentine Republic, the latter has its hands upon the throat of the new Republica Trans- atlantica. The Government of Buenos Ayres, in spite of its financial troubles, is very ambitious, and may even attempt to annex the new State, thus doubling its already overgrown territory, and making itself one of the largest States in the world. The Brazilian Dictator, it should be noted, instructs his agents to inform the world that the revolt in Matto Grosso is of no importance, and will speedily come to an end, which means that he is not going to expend either soldiers or money in an attempt to reduce the insurgents. They are to be left to stew in their own juice, at all events until it is decided whether Brazil is to remain a State, or to break up into a number of weak Republics.