It is rumored that the President started two days ago for the West—Tennessee and Mississippi. No papers have been sent in by him since Tuesday, and it may be true. If so, he means to return speedily. I think we shall soon have news from the lower James River.

A letter from the Governor of Alabama calls urgently for heavy guns, and a reserve force, for the defense of Mobile.

Major Hause, the government's agent in Europe, has purchased, up to this time, 157,000 stand of arms, besides many cannon, much ammunition, quartermaster's stores, etc. A portion was lost in transitu, however, but not a large amount. Besides the large sums he has expended, he has obtained credit to the extent of $6,000,000!

They are calling for a guard at Petersburg against incendiaries. A factory was burned the other night. This is bad.

Scully and Lewis, condemned to die as spies, have been pardoned by the President, and are to be sent North.

Another dispatch from Gen. Lee, dated 3-1/2 P.M., says the enemy has nearly completed his bridge, and will probably commence crossing this evening or in the morning. The bulletin boards in the city purport to give intelligence of the passage having been effected in part; but I do not see how the editors could have obtained their information.

At 6 P.M., passengers by the Fredericksburg train (which left at 1 P.M.) report the shelling of the town, and a great battle in progress on this side of the river. I doubt both; and I saw but one excited man (a Jew) who said he was in Fredericksburg when the shelling began. I do not believe it. The cars were not within four miles of the town, and perhaps merely conjectured the cannonading they heard to be directed at the town. There were no ladies or children in the cars. But doubtless the enemy will cross the river, and there will be a battle, which must result in a great mortality.

DECEMBER 12TH.—The enemy have possession of Fredericksburg, and succeeded in crossing a large portion of their force three miles below, on their pontoon bridge. Up to 3 P.M. to-day, we have no other intelligence but that "they are fighting." We shall know more, probably, before night.

The President has passed through East Tennessee on his way to Mississippi.

Lieut.-Col. Nat Tyler, publisher of the Enquirer, the organ of the government, was in my office this morning, denouncing Mr. Memminger, Secretary of the Treasury. He says Mr. M.'s head is as worthless as a pin's-head. He also denounced the rules of admission to our Secretary, adopted by Mr. R. G. H. Kean, Chief of the Bureau, and asked for a copy of them, that he might denounce them in his paper. It appears that Mr. Jacques is to say who can see the Secretary; and to do this, he must catechize each applicant as to the nature of his business. This is deemed insulting by some of the hot bloods, and will make friend Mr. J.'s position rather a disagreeable and derogatory one.

DECEMBER 13TH.—After all, Fredericksburg was severely shelled—whether designedly or incidentally in the fight, does not yet appear.

Our army has fallen back a little—for a purpose. Lee knows every inch of the ground.

Again we have rumors of a hostile fleet being in the river; and Major-Gen. G. W. Smith has gone to Petersburg to see after the means of defense, if an attack should be made in that quarter. Some little gloom and despondency are manifested, for the first time, in this community.

Major-Gen. S. Jones writes that although the Federal Gen. Cox has left the valley of the Kanawha, 5000 of his men remain; and he deems it inexpedient, in response to Gen. Lee's suggestion, to detach any portion of his troops for operations elsewhere. He says Jenkins's cavalry is in a bad condition.

Here is an instance of South Carolina honor. During the battle of Williamsburg, last spring, W. R. Erwin, a private in Col. Jenkins's Palmetto sharpshooters, was detailed to take care of the wounded, and was himself taken prisoner. The enemy supposing him to be a surgeon, he was paroled. He now returns to the service; and although the mistake could never be detected, he insists on our government exchanging a private of the enemy's for himself. With the assurance that this will be done, he goes again to battle.

Yesterday flour and tobacco had a fall at auction. Some suppose the bidders had in view the contingency of the capture of the city by the enemy.

In the market-house this morning, I heard a man speaking loudly, denounce a farmer for asking about $6 a bushel for his potatoes, and hoping that the Yankees would take them from him for nothing!

DECEMBER 14TH, SUNDAY.—Yesterday was a bloody day. Gen. Lee telegraphs that the enemy attacked him at 9 A.M., and as the fog lifted, the fire ran along the whole line, and the conflict raged until darkness (6 P.M.) put an end to the battle. The enemy was repulsed at all points, he continued, thanks be to God! But we have to mourn, as usual, a heavy loss. Lee expects another blow at Burnside to-day.

It is understood that Gens. Hood, Texas, was wounded; T. R. R. Cobb, Georgia, and a brigadier from South Carolina were killed. A dispatch says that where our generals fell, the colonels could no longer restrain their regiments; and the men ran into the ranks of the enemy, and, animated with a spirit of desperation, slaughtered the foe in great numbers with their bayonets, pistols, and knives.

Preparations are being made here for the reception of the wounded. The request was to provide for a large number.

Last night, at nine o'clock, a number of regiments which had been encamped among the fortifications northwest of the city, were marched down to Drewry's Bluff. It is probable Gen. Smith has heard of the enemy's approach from that quarter. I hope he may prove the right man in the right place.

It is rumored that we were repulsed yesterday, this side of Suffolk.

At this critical moment the President is away.

A dispatch from Gen. Lee says Gen. Wade Hampton dashed into Dumfries, the other side of the Rappahannock, and in the rear of the enemy, capturing some wagons, and taking a few men. This seems most extraordinary. If he be not taken himself, the diversion must have a good effect; but if he be taken, it will be considered a wild and desperate sally, boding no good to the cause. But Lee knows what he is about.

From the dispositions of our troops (few in number) in the vicinity of Richmond, at this moment, it seems to me that Gen. Smith is putting the city to great hazard. There are not a thousand men to guard the approach from the head of York River; and if a dozen of the enemy's swift transports were to dash up that river, the city could be surprised by 5000 men!

Ten o'clock A.M. No dispatches from Lee have come over the wires to-day. He may have interdicted others. We got no intelligence whatever. From this I infer the battle was resumed at early dawn, and the general deems it best to have no announcements but results. If this be so, it is a day big with events—and upon its issue may depend the fate of governments. And yet our people exhibited no trepidation. The foreign portion of the population may be seen grouped on the pavements indulging in speculation, and occasionally giving vent to loud laughter, when a Jew is asked what will be the price of his shoes, etc. to-morrow. They care not which side gains the day, so they gain the profits.

But our women and children are going to church as usual, to pray for the success of the cause, and not doubting but that our army will triumph as usual on the field of combat. It is a bright and lovely Sabbath morning, and as warm as May.

DECEMBER 15TH.—Yesterday evening several trains laden with wounded arrived in the city. The remains of Brig.-Gen. T. R. R. Cobb, of Georgia, were brought down. Brig.-Gen. Gregg, of South Carolina, is said to be mortally wounded. It is now believed that Major-Gen. Hood, of Texas, did not fall. The number of our killed and wounded is estimated, by a surgeon who came with the wounded, to be not over a thousand.

To-day, stragglers from the battle-field say that our loss in killed and wounded is 3000. It is all conjecture.

There was heavy skirmishing all day yesterday, and until to-day at noon, when the telegraph operator reports that the firing had ceased. We know not (yet) what this means. We are still sending artillery ammunition to Gen. Lee.

Gen. Evans dispatches from Kinston, N. C., that on the 14th, yesterday, he repulsed the enemy, 15,000 strong, and drove them back to their boats in Neuse River. A portion of Gen. R. A. Pryor's command, in Isle of Wight County, was engaged with the enemy's advance the same day. They have also landed at Gloucester Point. This is pronounced a simultaneous attack on our harbors and cities in Virginia and North Carolina. Perhaps we shall have more before night. Our people seem prepared for any event.

Another long train of negroes have just passed through the city, singing, to work on the fortifications.

DECEMBER 16TH.—To-day the city is exalted to the skies! Gen. Lee telegraphed that the enemy had disappeared from his front, probably meditating a design to cross at some other place. Such were his words, which approach nearer to a practical joke, and an inkling of exultation, than anything I have seen from his pen. He has saved the capital. Before the enemy could approach Richmond from "some other place;" Lee would be between him and the city, and if he could beat him on the Rappahannock he can beat him anywhere.

Doubtless Burnside has abandoned his heavy stores, siege guns, etc., and at this moment our army must occupy the town. Lee allowed the invaders to cross the river, and, in exact accordance with his promise, made a month ago, before they could advance from Fredericksburg, his "whole army was in position." They could not debouch without passing through our crescent line, the extreme ends of which touched the river above and below them. They attempted this on Saturday, and met with a bloody defeat, and until last night, when they retraced their steps, were confined to an exceedingly narrow and uncomfortable strip of land along the south bank of the river.

Our loss in the battle will not exceed, perhaps, 2000 men, not more than 500 being slain. It is estimated that the enemy's loss is over 10,000, and it may greatly exceed that number, as our positions were strong and our batteries numerous. The enemy fought well, charging repeatedly over the plain swept completely by our guns, and leaving the earth strewn with their dead. We have many prisoners, but I have heard no estimate of the number.

The enemy have taken Kinston, N. C., having overwhelming numbers, and a letter from Gen. Bragg, dated at Raleigh, yesterday, says it is probable Goldsborough will fall into their hands. This will cut our railroad communication with Wilmington, which may likewise fall—but not without its price in blood.

Why not let the war cease now? It is worse than criminal to prolong it, when it is apparent that subjugation is an impossibility.

There were no stragglers from Lee's army, and never were men in better spirits and condition. They are well clad and fed, and exceedingly anxious for Burnside to resume his "On to Richmond" after the skirmish of Saturday. They call it but a skirmish, for not a brigade was blown, not a regiment fatigued.

Although men shake hands over this result, they all say they never looked for any other termination of Burnside. The ladies say he is now charred all over. Well, he may come again by some other route, but I have doubts. The rigors of winter are sufficient punishment for his troops. It is said Burnside intended to resume the battle on Sunday morning, but his generals reported that their men could not be relied upon to approach our batteries again. I shall look with interest for the next Northern papers.

DECEMBER 17TH.—A dispatch from Gen. G. W. Smith, last night, says we have repulsed the enemy from Kinston, N. C., but a dispatch this morning says a cavalry force has cut the railroad near Goldsborough, broken down the wires, and burnt the bridge. We had no letters from beyond that point this morning.

Last night large quantities of ammunition and some more regiments were sent to North Carolina. This is done because Richmond is relieved by the defeat and retreat of Burnside. But suppose it should not be relieved, and a force should be sent suddenly up the James and York Rivers?

We have not a word from Fredericksburg, and it is probable Burnside's batteries still command the town. Lee is content and has no idea of crossing the river.

There are two notable rumors in the streets: first, that we have gained a great battle in Tennessee; and, second, that the government at Washington has arrested John Van Buren and many other Democratic leaders in the North, which has resulted in a riot, wherein 1000 have fallen, making the gutters in New York run with blood!

Gen. Lee's official report says our loss in the battle of the 13th in killed and wounded did not exceed 1200, whereas our papers said 2050 wounded have already been brought to this city.

Well, our government must have spies at Washington as an offset to Federal spies here among Gen. Winder's policemen; for we knew exactly when the enemy would begin operations in North Carolina, and ordered the cotton east of the Weldon Railroad to be burnt on the 16th inst., yesterday, and yesterday the road was cut by the enemy. I have not heard of the cotton being burnt—and I don't believe it was destroyed. Nor do I believe Gen. Smith knew that Burnside would be defeated in time to send troops from here to North Carolina.

Elwood Fisher died recently in Georgia, and his pen, so highly prized by the South for its able vindication of her rights, was forgotten by the politicians who have power in the Confederate Government. All Mr. Memminger would offer him was a lowest class clerkship. He died of a broken heart. He was more deserving, but less fortunate, than Mr. M.

It was Mr. Memminger, it seems, who refused to contribute anything to supply the soldiers with shoes, and the press is indignant. They say he is not only not a native South Carolinian, but Hessian born.

DECEMBER 18TH.—We have more accounts of the battle of Fredericksburg now in our possession. Our loss in killed and wounded will probably be more than the estimate in the official report, while Federal prisoners report theirs at 20,000. This may be over the mark, but the Examiner's correspondent at Fredericksburg puts down their loss at 19,000. The Northern papers of the 14th inst. (while they supposed the battle still undecided) express the hope that Burnside will fight his last man and fire his last cartridge on that field, rather than not succeed in destroying Lee's army! Lee's army, after our victory, is mostly uninjured. The loss it sustained was not a "flea-bite."

The enemy, in their ignominous flight on Saturday night, left their dead propped up as sentinels and pickets, besides 3000 on the plain.

Accounts from North Carolina indicate the repulse of the enemy, though they have burnt some of the railroad bridges. We shall hear more anon. Reinforcements are flying to the scene of action.

DECEMBER 19TH.—Gen. Burnside acknowledges a loss of upwards of 5000, which is good evidence here that his loss was not less than 15,000. The Washington papers congratulate themselves on the escape of their army, and say it might have been easily captured by Lee. They propose, now, going into winter quarters.

We have nothing further from North Carolina or Mississippi. Gen. Banks's expedition had passed Hilton Head.

A Mr. Bunch, British Consul, has written an impudent letter to the department, alleging that an Irishman, unnaturalized, is forcibly detained in one of our camps. He says his letters have not been answered, which was great discourtesy, and he means to inform Lord John Russell of it. This letter was replied to in rather scathing terms, as the Irishman had enlisted and then deserted. Besides, we are out of humor with England now, and court a French alliance.

The President was at Chattanooga on the 15th instant; and writes the Secretary that he has made some eight appointments of brigadiers, and promotions to major-generals. Major-Gen. Buckner is assigned to command at Mobile.

We are straightened for envelopes, and have taken to turning those we receive. This is economy; something new in the South. My family dines four or five times a week on liver and rice. We cannot afford anything better; others do not live so well.

Custis and I were vaccinated to-day, with the rest of the officers of the department.

The Northern papers now want the Federal army to go into winter quarters. This was, confessedly, to be the final effort to take Richmond. It failed. Many of the people regard the disaster of Burnside as the harbinger of peace.

An officer from the field informs me that all our generals were sadly disappointed, when it was discovered that Burnside had fled. They wanted one more blow at him, and he would have been completely destroyed.

DECEMBER 20TH.—Last accounts from Fredericksburg state that the enemy are retiring toward the Potomac and Washington. We have got some of their pontoon bridges, and other things left behind. It is now very cold, with a fair prospect of the Potomac freezing over. Let them beware!

But we were in a bad way: our army, instead of numbering 200,000 as the Federal journals report, did not exceed 50,000 men; and not half that number went into action. The Secretary of War had ordered several regiments from Gen. S. Jones, in Western Virginia; now sent to North Carolina.

There is no mail yet from beyond Goldsborough, and the news from North Carolina seems vague and unsatisfactory. They say we beat the enemy at Kinston; yet they have destroyed a portion of the railroad between Goldsborough and Wilmington. They say the Federals are retreating on Newbern; yet we know they made 500 of our men prisoners after they crossed the Neuse. It is reported that our loss is small, and the enemy's large; and that our 3000 men fought successfully their 18,000. However, we have sent some 15,000 reinforcements.

It is reported that the Federals are evacuating Nashville; but reports from the West are not always reliable.

A communication has been received by Secretary Seddon from S. B. M., of Vicksburg, proposing to purchase shoes, blankets, etc. in the United States, and sell them to the government for cotton or for Confederate notes. This was referred to the Quartermaster-General, who favors it. Now what will Mr. Secretary do? Better wait till the President returns!

The late Secretary of War, Mr. Randolph, has formed a partnership with Mr. G. A. Myers. To-day a paper was sent in by them to the new Secretary, containing the names of ten clients, all Jews and extortioners, who, it appears, at the beginning of the war, and before Virginia had fully seceded, joined several Virginia companies of artillery, but did not drill with them. They hired substitutes for a small sum, all, as the memorial sets forth, being foreigners of the class subsequently exempted by act of Congress. And these counselors demand the exemption of the Jew extortioners on the ground that they once furnished substitutes, now out of the service! And it is probable they will carry their point, and gain large fees. Substitutes now are worth $2000—then, $100.

A dispatch from Charleston to-day says: "Iron steamer Columbia, formerly the Giraffe, of Liverpool, with cargo of shoes, blankets, Whitworth guns, and ammunition, arrived yesterday." I suppose cargoes of this nature have been arriving once a week ever since the war broke out. This cargo, and the ship, belong to the government.

9 O'CLOCK P.M.—After a very cold day, it has become intensely frigid. I have two fires in our little Robin's Nest (frame) on the same floor, and yet ice forms rapidly in both rooms, and we have been compelled to empty the pitchers! This night I doubt not the Potomac will be closed to Burnside and his transports! During the first Revolution, the Chesapeake was frozen over. If we have a winter like that, we shall certainly have an armistice in Virginia without the intervention of any other than the Great Power above. But we shall suffer for the want of fuel: wood is $18 per cord, and coal $14 per cart load.

Gen. Bonham, who somehow incurred the dislike of the authorities here, and was dropped out of the list of brigadiers, has been made Governor of South Carolina.

And Gen. Wise, who is possessed of perhaps the greatest mind in the Confederacy, is still fettered. They will not let him fight a battle, because he is "ambitious!" When Norfolk was (wickedly) given up, his home and all his possessions fell into the hands of the enemy. He is now without a shelter for his head, bivouacing with his devoted brigade at Chaffin's farm, below the city. He is the senior brigadier in the army, and will never be a major-general.

DECEMBER 21ST, SUNDAY.—Nothing, yet, has been done by the immense Federal fleet of iron-clad gun-boats which were to devastate our coast this winter. But the winter is not over yet, and I apprehend something will be attempted. However, we shall make a heroic defense of every point assailed.

I omitted to state, in connection with the partnership formed between Mr. Myers and Mr. Randolph, that the former had already succeeded, when the latter was Secretary of War, in getting the substitutes of the Jew extortioners out of the army, on the ground that they were not domiciled in this country; and now both are intent on procuring the exemption of the principals. This may be good practice, but it is not good service. Every man protected and enriched by the government, owes service to the country in its hour of peril.

I am glad to hear that W. H. B. Custis, of the Eastern Shore of Virginia, takes no part in the war. This is the proper course for him under the circumstances. It is said he declined a high position tendered by the Federal Government. No doubt he has been much misrepresented: his principles are founded on the Constitution, which is violated daily at Washington, and therefore he can have no sympathy with that government.

DECEMBER 22D.—We shall never arrive at the correct amount of casualties at the battle of Fredericksburg. The Enquirer to-day indicates that our loss in killed, wounded, and missing (prisoners), amounted to nearly 4000. On the other hand, some of the Federal journals hint that their loss was 25,000. Gen. Armstrong (Confederate), it is said, counted 3500 of their dead on the field; and this was after many were buried. There are five wounded to one killed. But where Burnside is now, or what he will attempt next, no doubt Lee knows; but the rest of our people are profoundly ignorant in relation thereto. The New York Herald says: "The finest and best appointed army the world ever saw, has been beaten by a batch of Southern ragamuffins!" And it advises that the shattered remains of the army be put into winter quarters.

The weather has greatly moderated. I hope, now, it will continue moderate!

Mr. Crenshaw, who has the gigantic flour contract with the War Department, effected with Mr. Randolph, has just (in the President's absence) made another contract with Mr. Seddon. The department becomes a partner with him, and another party in England, in a huge commercial transaction, the object of which is to run goods in, and cotton out. We shall have our Girards, as well as the United States. Mr. Crenshaw proceeds to England immediately, bearing letters of credit to Mr. Mason, our Minister, etc.

An immense sum is to be sent West to pay for stores, etc., and Mr. Benjamin recommends the financial agent to the department. The illicit trade with the United States has depleted the country of gold, and placed us at the feet of the Jew extortioners. It still goes on. Mr. Seddon has granted passports to two agents of a Mr. Baumgartien—and how many others I know not. These Jews have the adroitness to carry their points. They have injured the cause more than the armies of Lincoln. Well, if we gain our independence, instead of being the vassals of the Yankees, we shall find all our wealth in the hands of the Jews.

The accounts from North Carolina are still conflicting. It is said the enemy have retired to Newbern; but still we have no letters beyond Goldsborough. From Raleigh we learn that the legislature have postponed the array bill until the 20th of January.

DECEMBER 23D.—The battle of Fredericksburg is still the topic, or the wonder, and it transpired more than nine days ago. It will have its page in history, and be read by school-boys a thousand years hence. The New York Times exclaims, "God help us—for man cannot." This is another war sheet. The Tribune is bewildered, and knows not what to say. The Herald says "everything by turns, and nothing long." Its sympathies are ever with the winning party. But it is positively asserted that both Seward and his son have resigned, to be followed by the rest of the cabinet. That example might be followed here without detriment to our cause. And it is said Burnside has resigned. I doubt that—but no doubt he will be removed. It is said Fremont has been appointed his successor. That would be good news. I think Halleck will be removed, and McClellan will be recalled. No matter.

It is said our President will command in Mississippi himself—the army having no confidence in Pemberton, because he is a Yankee.

We have a letter to-day from Gen. Pike (another Yankee), saying the Indian country is lost—lost, because Gens. Holmes and Hindman—Southern men—won't let him have his own way!

The news from North Carolina is still cloudy. Gen. G. W. Smith is there (another Northern man).

Gen. Elzey has been appointed to command this department during Gen. L.'s absence. Gen. E. is a Marylander. In the President's absence, it is said this appointment was made by Gen. S. Cooper (another Yankee) to insult Virginia by preventing the capital from being in the hands of a Virginian. The Richmond papers occasionally allude to the fact that the general highest in rank in the Confederacy is a Yankee—Gen. S. Cooper.

Gen. Lee says his ammunition is bad in quality, and that his new guns burst in the late battle—all under charge of the chief of the Bureau of Ordnance—another Yankee. Gen. D. H. Hill writes a scathing letter to the department in response to a rebuke from the new Secretary, occasioned by some complaints of Major Palfrey in Gen. Cooper's (A. and I. General) office. I do not know where Major P. came from; but the fact that he was not in the field, gave the general occasion to rasp him severely. It must have been caused by an order transferring, furloughing, or discharging some soldier in Gen. H.'s division—and his patience vanished at the idea of having his men taken out of the ranks without consulting him, by carpet knights and civilian lawyers. He says 8000 are now absent from his command—and that Gen. Johnston's army, last spring, was reduced from the same cause to 40,000 men, where he had to oppose 138,000 of the "rascally Yankees." He concludes, however, by saying it is the duty of subordinate generals in the field to submit in all humility to the behests of their superiors comfortably quartered in Richmond. But if justice were done, and the opinions of the generals in the field were regarded in the matter of discharges, etc., the lawyers, who have grown fat on fees by thinning our ranks, would be compelled to resort to some more laudable means of making a living.

A letter from Gov. Shorter, of Alabama, introduces Judge Rice, agent for P. S. Gerald and J. R. Powell, who propose to bring goods into the Confederate States through Mexico, to be paid for in cotton, etc. This was referred by the Secretary to the Quartermaster-General—who protests against it on the ground that it might interfere with his agents already engaged in the business.

The President publishes a retaliatory proclamation to-day against Gen. Butler, for hanging Mr. Munford, of New Orleans, who took down the United States flag before the city had surrendered. He declares Butler to be out of the pale of civilization; and orders any commander who may capture him, to hang him as an outlaw. And all commissioned officers serving under Butler, and in arms with negroes, to be reserved for execution.

There is a rumor that an agent of the Federal Government has arrived in the city, to propose an armistice. No armistice, unless on the basis of uli possidetis ante bellum!

Bethel, Leesburg, and Fredericksburg are victories memorable for our great success when fighting in advantageous positions. They teach a lesson to generals; and it will be apparent that no necessity exists for so great an expenditure of life in the prosecution of this war. The disparity of numbers should be considered by our generals. I fear the flower of our chivalry mostly perished in storming batteries. It is true a prestige was gained.

DECEMBER 24TH.—The Louisville Journal says the defeat of Burnside is "sickening," and that this sad condition of affairs cannot be borne long.

It is said that Confederate bonds are bringing quite as much in New York as in Richmond; and that the bonds of Southern men are freely discounted in the North. These, if true, are indications of approaching peace. Cotton at 50 cents per pound, and our capacity to produce five million bales per annum, must dazzle the calculating Yankees. A single crop worth $1,000,000,000! What interest or department of industry in the United States can promise such results?

Letters were received to-day from Nassau, dated 12th December. Mr. L. Heyliger, our agent, reports a number of steamers sailing, and about to sail, with large amounts of stores and goods of all kinds, besides plates for our navy. A Mr. Wiggs has several steamers engaged in this business. Our government own some, and private individuals (foreign speculators) are largely engaged in the trade. Most of these steamers run sixteen miles an hour.

A Mr. Hart, agent for S. Isaac Campbell & Co., London, proposes to clothe and equip 100,000 men for us, and to receive certificates for specific amounts of cotton. This same house has, on this, it is said, advanced as much as $2,000,000 on our account. This looks cheering. We have credit abroad. But they are Jews.

Mr. Heyliger says he has seen letters from the United States, conveying information that Charleston is to be attacked about the holidays—the ensuing week—by four iron-clad gun-boats. Well, I believe we have three there; so let them come!

Every day we have propositions to supply the army and the country with goods, for cotton; and they succeed in delivering stores, etc., in spite of the vigilance of the Federal blockading squadrons. There is a prospect that we shall have abundance of everything some of these days. But there is some wrangling. The Quartermaster-General complains to-day that Lieut.-Gen. Pemberton has interfered with his agents, trading cotton for stores. Myers is a Jew, and Pemberton a Yankee—so let them fight it out.

DECEMBER 25TH, CHRISTMAS DAY.—Northern papers show that there is much distraction in the North; that both Seward and Chase, who had resigned their positions, were with difficulty persuaded to resume them. This news, coupled with the recent victory, and some reported successes in the West (Van Dorn's capture of Holly Springs), produces some effect on the spirits of the people here; and we have a merrier Christmas than the last one.

It is said the Federal Congress is about to provide for the organization of 100 regiments of negroes. This does not occasion anxiety here. The slaves, once armed, would cut their way back to their masters. The only possible way to restore the Union—if indeed it be possible—is to withdraw all the Federal troops, and maintain an effective blockade. There might possibly ensue dissensions among our politicians and States, detrimental to any required unity of purpose. But the Yankees, with all their smartness, cannot perceive this. They can never appal us with horrors, for we have fed upon nothing else for so long a period, that we have become accustomed to them. And they have not men enough to subjugate us and hold us in subjugation. Two millions would not suffice!

The boys are firing Chinese crackers everywhere, and no little gunpowder is consumed in commemoration of the day.

But turkeys are selling at $11 each! Shoes for $25 per pair. Salt, however, has fallen from $1.50 to 33 cents per pound. Fresh meats sell at from 35 to 50 cents per pound.

A silver (lever) watch, which had been lying in my trunk for two years, and which cost me $25, sold at auction yesterday for $75. This sufficed for fuel for a month, and a Christmas dinner. At the end of another month, my poor family must be scattered again, as this house will be occupied by its owner. I have advertised for boarding in the country, but get no response. It would require $300 per month to board my family here, and that is more than my income. What shall we do? Trust in God!

DECEMBER 26TH.—We have no news to-day—not even a rumor. We are ready for anything that may come. No doubt the assailants of Mobile, Wilmington, or Charleston, will meet with determined resistance.

The President will be in Richmond about the first day of January. I saw a man who traveled with him in Alabama.

Vicksburg, I understand, cannot be taken by water. And Grant, the Federal general, is said to be retreating out of Mississippi.

DECEMBER 27TH.—The successes in the West have been confirmed. Morgan captured 2000 and Van Dorn 1500 prisoners at Holly Springs. They likewise destroyed a large amount of stores.

We have intelligence of a great armament, under Gen. Sherman, sailing from Memphis against Vicksburg. At the last accounts the President was at Vicksburg; and he may be witness of this decisive struggle for the possession of the Mississippi River, the result of which involves immense interests. We await with much anxiety the issue of the naval operations during the ensuing month. We are content with the land achievements of this year; and if we should be equally successful in resisting the enemy's fleets, we shall deem ourselves fortunate indeed.

The agents of the Commissary and Quartermaster-General make grievous complaints against Lieut.-Gen. Pemberton, at Grenada, Mississippi; they say he interferes with their arrangements to procure supplies—for cotton; and it is intimated that he has some little arrangements of his own of that nature. This illicit trade is very demoralizing in its nature.

Oh, that peace would return! But with INDEPENDENCE!

DECEMBER 28TH.—We have no news to-day from the West. If the great battle has been fought at Vicksburg, we ought to know it to-day or to-morrow; and if the enemy be beaten, it should be decisive of the war. It would be worse than madness to continue the contest for the Union.

Several fine brass batteries were brought down from Fredericksburg last night, an indication that the campaign is over for the winter in that direction.

If we should have disasters in the West, and on the Southern seaboard, the next session of Congress, to begin a fortnight hence, will be a stormy one.

DECEMBER 29TH.—We have a dispatch from Vicksburg at last. The enemy, 25,000 strong, were repulsed three times yesterday, and finally driven back seven miles, to their gun-boats. It was no battle, for our loss was only 30, and that of the enemy 400. It will be fought to-day, probably.

It is said an attempt will be made this week on Weldon, as well as Charleston.

Our Morgan has been in Kentucky again, and captured 1200 men. Glorious Morgan!

The accounts from the United States are rather cheering. The Herald proposes a convention of all the "loyal States," that reconstruction may be tried in that way. A dispatch from Tennessee says, even the New York Tribune expresses the opinion that our independence must be recognized. The Philadelphia Press proposes another route to Richmond via the rivers, and thinks Richmond may be taken yet, and the rebellion crushed.

The surgeon in charge of the Howard Hospital reports that the small-pox is greatly on the increase, and terminating fatally in almost every case. He says men die of it without eruptions on the surface, the disease striking inward. It is proposed to drive away the strangers (thousands in number), if they will not leave voluntarily. There are too many people here for the houses, and the danger of malignant diseases very great.

My vaccination was not a success; very little inflammation and a small scab being the only evidences. But I have a cough, and much lassitude.

DECEMBER 30TH.—We have another crisis. Dispatches from Murfreesborough state the hostile armies are facing each other, and not a mile apart; the skirmishing increases, and a decisive battle may occur at any moment.

From Vicksburg we have no further intelligence; but from the Rappahannock we learn that both artillery and infantry were distinctly heard yesterday in the direction of Dumfries. Is Stuart there?

DECEMBER 31ST.—There were more skirmishes near Vicksburg yesterday; and although several of the Louisiana regiments are said to have immortalized themselves (having lost only two or three men each), I suppose nothing decisive was accomplished. I have not implicit faith in Western dispatches; they are too often exaggerations. And we have nothing further from Murfreesborough.

But there is reliable intelligence from Albemarle Sound, where a large fleet of the enemy's transports appeared yesterday. We must look now for naval operations. Perhaps Weldon is aimed at.

Gen. Wise writes a remarkable letter to the department. His son, just seventeen years old, a lieutenant in 10th Virginia Cavalry, was detailed as ordnance officer of the general's brigade, when that regiment was taken from his father. Now Gen. Cooper, the Northern head of the Southern army, orders him to the 10th Cavalry. The general desires his son to remain with him, or that the lieutenant may be permitted to resign. He says he asks no favors of the administration, and has never received any. His best blood (Capt. O. J. W.) has been given to the country, and his home and property lost by the surrender of Norfolk, etc.

To-day, Gen. Winder's account for disbursement of "secret service" money was sent in. Among the persons who were the recipients of this money, I noticed Dr. Rossvally, a notorious spy, and S——w, one of his policemen, who, with W——ll, very recently fled to the enemy, and is now in the service of the United States, at Washington!

Gen. Lee has given the command in Northwestern Virginia to Gen. W. E. Jones; and he asks the Secretary to hold a major he has captured as a hostage for the good conduct of the Federal Gen. Milroy, who is imitating Gen. Pope in his cruelties to civilians.



CHAPTER XXII.

Lee in winter quarters.—Bragg's victory in the Southwest.—The President at Mobile.—Enemy withdraw from Vicksburg.—Bragg retreats as usual.—Bureau of Conscription.—High rents.—Flour contracts in Congress.—Efforts to escape conscription.—Ships coming in freely.— Sneers at negro troops.—Hopes of French intervention.—Gen. Rains blows himself up.—Davis would be the last to give up.—Gov. Vance protests against Col. August's appointment as commandant of conscripts.—Financial difficulties in the United States.

JANUARY 1ST, 1863.—This first day of the year dawned in gloom, but the sun, like the sun of Austerlitz, soon beamed forth in great splendor upon a people radiant with smiles and exalted to the empyrean.

A letter from Gen. H. Marshall informed the government that Gen. Floyd had seized slaves in Kentucky and refused to restore them to their owners, and that if the government did not promptly redress the wrong, the Kentuckians would at once "take the law into their own hands."

We had a rumor (not yet contradicted) that the enemy, or traitors, had burned the railroad bridge between Bristol and Knoxville, cutting our communication with the West.

Then it was said (and it was true) that Gen. Lee had sent his artillery back some 30 miles this side of the Rappahannock, preparatory to going into winter quarters. But this was no occasion for gloom. Lee always knows what is best to be done.

Next there was a rumor (not yet confirmed, but credited) that Stuart had made another of his wonderful reconnoissances, capturing prisoners and destroying much of the enemy's stores beyond the Rappahannock.

Then came a dispatch from Bragg which put us almost "beside" ourselves with joy, and caused even enemies to pause and shake hands in the street. Yesterday he attacked Rosecrans's army near Murfreesborough, and gained a great victory. He says he drove him from all his positions, except on the extreme left, and after ten hours' fighting, occupied the whole of the field except (those exceptions!) the point named. We had, as trophies, thirty-one guns, two generals, 4000 prisoners, and 200 wagons. This is a Western dispatch, it is true, but it has Bragg's name to it, and he does not willingly exaggerate. Although I, for one, shall await the next dispatches with anxiety, there can be no question about the victory on the last day of the bloody year 1862. Bragg says the loss was heavy on both sides.

I noticed that one of the brass pieces sent down by Lee to go to North Carolina had been struck by a ball just over the muzzle, and left a glancing mark toward the touch-hole. That ball, probably, killed one of our gunners.

JANUARY 2D.—A dispatch from Gov. Harris gives some additional particulars of the battle near Murfreesborough, Tenn. He says the enemy was driven back six miles, losing four generals killed and three captured, and that we destroyed $2,000,000 commissary and other stores. But still we have no account of what was done yesterday on the "extreme left."

Gen. Stuart has been near Alexandria, and his prisoners are coming in by every train. He captured and destroyed many stores, and, up to the last intelligence, without loss on his side. He is believed, now, to be in Maryland, having crossed the Potomac near Leesburg.

The mayor of our city, Jos. Mayo, meeting two friends last night, whom he recognized but who did not recognize him, playfully seized one of them, a judge, and, garroter fashion, demanded his money or his life. The judge's friend fell upon the mayor with a stick and beat him dreadfully before the joke was discovered.

The President was at Mobile on the 30th December, having visited both Murfreesborough and Vicksburg, but not witnessing either of the battles.

We are in great exaltation again! Dispatches from Gen. Bragg, received last night, relieve us with the information that the stronghold of the enemy, which he failed to carry on the day of battle, was abandoned the next day; that Forrest and Morgan were operating successfully far in the rear of the invader, and that Gen. Wheeler had made a circuit of the hostile army after the battle, burning several hundred of their wagons, capturing an ordnance train, and making more prisoners. Bragg says the enemy's telegraphic and railroad communications with his rear have been demolished, and that he will follow up the defeated foe. I think we will get Nashville now.

JANUARY 3D.—To-day we have a dispatch from Vicksburg stating that the enemy had re-embarked, leaving their intrenching instruments, etc., apparently abandoning the purpose of assaulting the city. This is certainly good news.

Gen. Stuart did not cross the Potomac, as reported in the Northern press, but, doubtless, the report produced a prodigious panic among the Yankees. But when Stuart was within eight miles of Alexandria, he telegraphed the government at Washington that if they did not send forward larger supplies of stores to Burnside's army, he (Stuart) would not find it worth while to intercept them.

Capt. Semmes, of the Alabama, has taken another prize—the steamer Ariel—but no gold being on board, and having 800 passengers, he released it, under bonds to pay us a quarter million dollars at the end of the war.

A large meeting has been held in New York, passing resolutions in favor of peace. They propose that New Jersey send a delegation hither to induce us to meet the United States in convention at Louisville, to adopt definitive terms of peace, on the basis of the old Union, or, that being impracticable, separation. Too late!

JANUARY 4TH.—We have nothing additional from Murfreesborough, but it is ascertained that the bridges burned by the enemy on the Virginia and Tennessee Railroad cannot be repaired in a month.

It really does seem that some potent and malign influence, resident at the capital, some high functionary, by some species of occultation, controlling the action of the government, a Talleyrand in the pay of both governments, and balancing or equalizing disasters between them to magnify his importance and increase his reward, has been controlling many events since the beginning of this war, and is still engaged in the diabolical work. It now appears that several regiments were withdrawn from the vicinity of Bristol, whose presence there was necessary for the protection of the railroad and the bridges. They were brought hither after Lee's defeat of Burnside, for the protection of the capital! The President was away, and Mr. Seddon was now in the War Office. But Gen. Cooper is old in office, and should have known better; and Gen. G. W. Smith certainly must have known better. Just suppose we had been beaten at Murfreesborough, and our communications cut, west and east and south! There would have been no escape.

It had even been proposed to take a large portion of Lee's men from him, so that he must be inevitably defeated on the Rappahannock, but Lee's resignation would have shocked the people unbearably. Great injury was done him by abstracting some 20,000 of his men by discharges, transfers, and details. Nothing but his generalship and the heroism of his men saved us from ruin. The disasters of Donelson, Newbern, Nashville, Memphis, Roanoke, New Orleans, Norfolk, etc. may be traced to the same source. But all new governments have been afflicted by a few evil-disposed leaders.

Our people in arms have upheld the State; they have successfully resisted the open assaults of the invader, and frustrated the occult machinations of the traitors in our midst. We have great generals, but what were they without great men to obey them? Generals have fallen, and divisions and brigades have fought on without them. Regiments have lost their field officers and continued the fight, and companies have maintained their position after all their commissioned officers were stricken down. The history which shall give the credit of their achievements to others will be a vile calumny. Our cause would have been ruined if it had not been for the bravery and heroism of the people—the privates in our armies.

There is a rumor this morning that the enemy are advancing toward Petersburg from Suffolk. If this be so, some spy, under the protection of martial law, has informed the Yankees of our defenseless condition at that place, being alarmed at the success of our brave and patriotic men in the West.

JANUARY 5TH.—We learn from Gen. Bragg that the enemy did not retire far on the 2d inst., but remain still in the vicinity of Murfreesborough. He says, however, that our cavalry are still circling the Yankees, taking prisoners and destroying stores. During the day an absurd rumor was invented, to the effect that Bragg had been beaten. We are anxious to learn the precise particulars of the battle. It is to be feared that too many of Bragg's men were ordered to reinforce Pemberton. If that blunder should prove disastrous, the authorities here will have a hornet's nest about their ears. The President arrived yesterday, and his patriotic and cheering speech at Jackson, Miss., appeared in all the papers this morning.

We hear of no fighting at Suffolk. But we have dispatches from North Carolina, stating that a storm assailed the enemy's fleet off Hatteras, sinking the Monitor with all on board, and so crippling the Galena that her guns were thrown overboard! This is good news—if it be confirmed.

A letter from Major Boyle, in command at Gordonsville, gives information that the smugglers and extortioners are trading tobacco (contraband) with the enemy at Alexandria. He arrested B. Nussbaum, E. Wheeler, and S. Backrack, and sent them with their wagons and goods to Gen. Winder, Richmond. But instead of being dealt with according to law, he learns that Backrack is back again, and on his way to this city with another wagon load of goods from Yankee-land, and will be here to-day or to-morrow. I sent the letter to the Secretary, and hope it will not be intercepted on its way to him from the front office. The Secretary never sees half the letters addressed him, or knows of one-half the attempts of persons to obtain interviews. The Assistant Secretary's duty is to dispose of the less important communications, but to exhibit his decisions.

JANUARY 6TH.—To-day we are all down again. Bragg has retreated from Murfreesborough. It is said he saved his prisoners, captured cannon, etc., but it is not said what became of his own wounded. The Northern papers say they captured 500 prisoners in the battle, which they claim as a victory. I do not know how to reconcile Bragg's first dispatches, and particularly the one saying he had the whole field, and would follow the enemy, with this last one announcing his withdrawal and retirement from the field.

Eight thousand men were taken from Bragg a few days before the battle. It was not done at the suggestion of Gen. Johnston; for I have seen an extract of a letter from Gen. J. to a Senator (Wigfall), deprecating the detachment of troops from Bragg, and expressing grave apprehensions of the probable consequences.

A letter was received from R. R. Collier, Petersburg, to-day, in favor of civil liberty, and against the despotism of martial law.

Senator Clark, of Missouri, informed me to-day that my nephew, R. H. Musser, has been made a colonel (under Hindman or Holmes), and has a fine regiment in the trans-Mississippi Department.

Lewis E. Harvie, president of the railroad, sends a communication to the Secretary (I hope it will reach him) inclosing a request from Gen. Winder to permit liquors to be transported on his road to Clover Hill. Mr. Harvie objects to it, and asks instructions from the Secretary. He says Clover Hill is the point from which the smuggling is done, and that to place it there, is equivalent to bringing it into the city.

JANUARY 7TH.—To-day I was requested to aid, temporarily, in putting in operation a new bureau, created by the military authorities, not by law, entitled the Bureau of Conscription. From conscription all future recruits must be derived. I found Gen. Rains, the chief, a most affable officer; and Lieut.-Col. Lay, his next officer, was an acquaintance. I shall not now, perhaps, see so much of the interior of this moving picture of Revolution; my son, however, will note important letters. It is said that Sumner's corps (of Burnside's army) has landed in North Carolina, to take Wilmington. We shall have news soon.

We are sending troops rapidly from Virginia to North Carolina.

The Northern papers say the following dispatch was sent to Washington by our raiding Stuart: "Gen. Meigs will in future please furnish better mules; those you have furnished recently are very inferior." He signed his own name.

A large body of slaves passed through the city to-day, singing happily. They had been working on the fortifications north of the city, and go to work on them south of it. They have no faith in the efficacy of Lincoln's Emancipation.

But it is different in Norfolk; 4000 enfranchised slaves marched in procession through the town the other day in a sort of frantic jubilee. They will bewail their error; and so will the Abolitionists. They will consume the enemy's commissary stores; and if they be armed, we shall get their arms.

Lee and Beauregard were telegraphed to-day in relation to the movement on Wilmington; and the President had the cabinet with him many hours.

Gen. Rains is quite certain that the fall of New Orleans was the result of treachery.

By the emancipation, Gen. Wise's county, Princess Ann, is excepted—and so are Accomac and Northampton Counties; but I have no slaves. All I ask of the invaders is to spare my timber, and I will take care of the land—and I ask it, knowing the request will never be known by them until the war is over.

JANUARY 8TH.—Gen. French writes that the enemy at Suffolk and Newbern amounted to 45,000; and this force now threatens Weldon and Wilmington, and we have not more than 14,000 to oppose them. With generalship that should suffice.

All the Virginia conscripts are ordered to Gen. Wise, under Major-Gen. Elzey. The conscripts from other States are to be taken to Gen. Lee. If the winter should allow a continuance of active operations, and the enemy should continue to press us, we might be driven nearly to the wall. We must help ourselves all we can, and, besides, invoke the aid of Almighty God!

We have nothing fresh from Bragg—nothing from Vicksburg—and that is bad news.

I like Gen. Rains. He comes in and sits with me every day. Col. Lay is the active business man of the bureau. The general is engaged in some experiments to increase the efficiency of small arms.

He is very affable and communicative. He says he never witnessed more sanguinary fighting than at the battle of the Seven Pines, where his brigade retrieved the fortunes of the day; for at one time it was lost. He was also at Yorktown and Williamsburg; and he cannot yet cease condemning the giving up of the Peninsula, Norfolk, etc. Gen. Johnston did that, backed by Randolph and Mallory.

We have all been mistaken in the number of troops sent to the rescue of North Carolina; but four or five regiments, perhaps 3000 men, have gone thither from Virginia. A letter from Gen. Lee, dated the 5th inst., says he has not half as many men as Burnside, and cannot spare any. He thinks North Carolina, herself, will be able to expel the Federals, who probably meditate only a marauding expedition. And he supposes Bragg's splendid victory (what did he suppose the next day?) may arrest the inroads of the enemy everywhere for a season. At this moment I do not believe we have 200,000 men in the field against 800,000! But what of that, after seeing Lee beat 150,000 with only 20,000 in action! True, it was an ambuscade.

JANUARY 9TH.—The Northern papers say the Federals have taken Vicksburg; but we are incredulous. Yet we have no reliable intelligence from thence; and it may be so. It would be a terrible blow, involving, for a time, perhaps, the loss of the Mississippi River.

But we have cheering news from Galveston, Texas. Several of our improvised gun-boats attacked the enemy's war vessels in the harbor, and after a sanguinary contest, hand to hand, our men captured the Harriet Lane, a fine United States ship of war, iron clad. She was boarded and taken. Another of the enemy's ships, it is said, was blown up by its officers, rather than surrender, and many perished. If this be Magruder's work, it will make him famous.

Our public offices are crowded with applicants for clerkships, mostly wounded men, or otherwise unfit for field duty.

How can we live here? Boarding is $60 per month, and I have six to support! They ask $1800 rent for a dwelling—and I have no furniture to put in one. Gen. Rains and I looked at one to-day, thinking to take it jointly. But neither of us is able to furnish it. Perhaps we shall take it, nevertheless.

JANUARY 10TH.—We have news from the West, which is believed to be reliable, stating that Bragg captured 6000 prisoners altogether in his late battles; took 30 cannon, 800 stand of arms, and destroyed 1500 wagons and many stores. The estimated loss of the enemy in killed and wounded is put down at 12,000. Our loss in killed and wounded not more than half that number.

To-day we have official intelligence confirming the brilliant achievement at Galveston; and it was Magruder's work. He has men under him fitted for desperate enterprises; and he has always had a penchant for desperate work. So we shall expect to hear of more gallant exploits in that section. He took 600 prisoners.

We have news also from Vicksburg, and the city was not taken; on the contrary, the enemy had sailed away. I trust this is reliable; but the Northern papers persist in saying that Vicksburg has fallen, and that the event took place on the 3d inst.

Six hundred women and children—refugees—arrived at Petersburg yesterday from the North. They permit them to come now, when famine and pestilence are likely to be added to the other horrors of war! We are doomed to suffer this winter!

JANUARY 11TH.—The message of Gov. Seymour, of New York, if I am not mistaken in its import and purposes, will have a distracting effect on the subjugation programme of the government at Washington. I shall look for riots, and perhaps rebellions and civil wars in the North.

Mr. Stanley, ycleped Governor of North Carolina, has written a letter (dated 31st December) to Gen. French, complaining that our soldiery have been guilty of taking slaves from their humane and loyal masters in Washington County, against their will; and demanding a restoration of them to their kind and beneficent owners, to whom they are anxious to return. Gen. French replies that he will do so very cheerfully, provided the United States authorities will return the slaves they have taken from masters loyal to the Confederate States. These may amount to 100,000. And he might have added that on the next day all—4,000,000—were to be emancipated, so far as the authority of the United States could accomplish it.

The enemy's gun-boats (two) came up the York River last week, and destroyed an oyster boat. Beyond the deprivation of oysters, pigs, and poultry, we care little for these incursions.

JANUARY 12TH.—The news of the successful defense of Vicksburg is confirmed by an official dispatch, to the effect that the enemy had departed up the Mississippi River. By the late Northern papers, we find they confess to a loss of 4000 men in the several attacks upon the town! Our estimate of their loss did not exceed that many hundred. They lost two generals, Morgan and another. We did not lose a hundred men, according to our accounts. The Herald (N. Y.) calls it "another Fredericksburg affair."

The estimate of the enemy's loss, at Murfreesborough, from 12,000 to 20,000, in killed, wounded, and prisoners, and ours at from four to nine thousand. Bragg says he will fight again near the same place, and his men are in high spirits.

Our men fight to kill now, since the emancipation doom has been pronounced. But we have had a hard rain and nightly frosts, which will put an end to campaigning during the remainder of the winter. The fighting will be on the water, or near it.

The legislature is in session, and resolutions inimical to the passport system have already been introduced. But where are State Rights now?

Congress meets to-morrow.

JANUARY 13TH.—The generals in North Carolina are importunate for reinforcements. They represent the enemy as in great force, and that Weldon, Goldsborough, Raleigh, and Wilmington are in extreme peril. Lee cannot send any, or, if he does, Richmond will be threatened again, and possibly taken.

How shall we live? Boarding ranges from $60 to $100 per month. Our landlord says he will try to get boarding in the country, and if he succeeds, probably we may keep the house we now occupy, furnished, at a rent of $1200, for a mere robin's nest of four rooms! But I hope to get the house at the corner of First and Casey, in conjunction with Gen. Rains, for $1800. It has a dozen rooms.

JANUARY 14TH.—Gen. Beauregard, some of whose forces have been taken from him and sent to the defense of Wilmington, is apprehensive that they may be lost, in the event of the enemy making a combined naval and land attack, and then Charleston and Savannah would be in great peril. Gens. Smith and Whiting call lustily for aid, and say they have not adequate means of defense.

Some 4000 more negroes have been called for to work on the fortifications near Richmond. I believe 10,000 are at work now.

A letter "by order" of the Secretary of War to Col. Godwin, in King and Queen County, written by Judge Campbell, says that blockaders are allowed to run through, provided they be not suspicious parties. The government takes what it wants at seventy-five per cent. and releases the rest. The parties are liable to have their goods confiscated by the Secretary of the Treasury, who, however, the letter proceeds to say, has never molested any one in the illicit trade—smuggling.

In Congress, yesterday, Mr. Foote called for a committee to investigate the commissary's contract with Haxhall, Crenshaw & Co., and was particularly severe on Major Ruffin, in the commissary's office, whom he understood was a partner in the flour concern.

Mr. Foote introduced a series of resolutions to-day, tempting the Northern States to make peace with us separately, excluding the New England States, and promising commercial advantages, etc. But we must treat as independent States, pledging a league with those that abandon the United States Government—offensive and defensive—and guaranteeing the navigation of the Mississippi River to the Northwestern States. They were referred to the Committee on Foreign Relations, of which he is the chairman. This is nothing.

But neither yesterday nor the day before was there a quorum of both houses; a sad spectacle in such a season of gloom. It was enlivened, however, by a communication from the Surgeon-General, proposing to send surgeons to vaccinate all the members. They declined the honor, though the small-pox is raging frightfully.

To-day a quorum was found in each house, and the President's message was sent in. I have not read it yet.

JANUARY 15TH.—The President's message is highly applauded. It is well written; but I do not perceive much substance in it, besides some eloquent reproaches of England and France for the maintenance of their neutrality, which in effect is greatly more beneficial to the United States than to us. The President essays to encourage the people to continued effort and endurance—and such encouragement is highly judicious at this dark epoch of the struggle. He says truly we have larger armies, and a better supply of arms, etc., now, than we have had at any time previously.

The President says he will, unless Congress directs differently, have all Federal officers that we may capture, handed over to the States to be dealt with as John Brown was dealt with. The Emancipation Proclamation, if not revoked, may convert the war into a most barbarous conflict.

Mr. Foote, yesterday, introduced a resolution requesting the recall of our diplomatic agents; and, after a certain time, to notify the foreign consuls to leave the country, no longer recognizing them in an official capacity.

A bill was introduced making Marylanders subject to conscription.

JANUARY 16TH.—Gen. Lee is in the city, doubtless to see about the pressure upon him for reinforcements in North Carolina. Gen. Smith still writes from Goldsborough for more men, with doleful forebodings if they be refused.

From Eastern Tennessee, we have bad accounts of outrages by the disloyal inhabitants, who have fled, to escape conscription, to the mountains and caves, many of them taking their families. At night they emerge from their hiding-places, and commit depredations on the secessionists.

It has been blowing a gale for two days, and there are rumors of more losses of the enemy's ships on the coast of North Carolina.

A letter was received by the government to-day from Arizona, justifying Col. Baylor for his policy of dealing with the Indians. I do not hear of any steps yet on the part of the President.

A report of the commandant at Camp Holmes, Raleigh, N. C., states that 12,000 conscripts have been received there altogether; 8000 have been sent off to regiments, 2000 detailed on government work, 500 deserted, etc.

The Enquirer to-day publishes the fact that a ship, with stores, merchandise, etc., has just arrived at Charleston; that six more are on the way thither, and that a steamer has successfully run the blockade from Wilmington with cotton. This notification may increase the vigilance of the blockading fleet. The Enquirer is also perpetually tilting with the Raleigh Standard. I doubt the policy of charging the leading journals in North Carolina with predilections for the Union. I believe the Enquirer has no settled editor now.

Mr. Foote favors the conscription of Marylanders. If such an act should be likely to pass, Gen. Winder will be beset with applications to leave the Confederacy.

JANUARY 17TH.—Gen. Lee has left the city. His troops, encamped thirty miles north of Richmond, marched northward last night. So it is his determination to cross the Rappahannock? Or is it a demonstration of the enemy to prevent him from sending reinforcements to North Carolina? We shall know speedily.

North Carolina, one would think, is soon to be the scene of carnage; and it is asked what can 16,000 men do against 60,000?

The enemy began the attack on Fort Caswell yesterday; no result. But one of his blockaders went ashore in the storm, and we captured the officers and crew.

All the conscripts in the West have been ordered to Gen. Bragg.

Shall we starve? Yesterday beef was sold for 40 cts. per pound; to-day it is 60 cts. Lard is $1.00. Butter $2.00. They say the sudden rise is caused by the prisoners of Gen. Bragg, several thousand of whom have arrived here, and they are subsisted from the market. Thus they injure us every way. But, n'importe, say some; if Lincoln's Emancipation be not revoked, but few more prisoners will be taken on either side. That would be a barbarous war, without quarter.

I see that Col. J. W. Wall, of New Jersey, has been nominated, and I suppose will be elected, U. S. Senator. He was confined for months in prison at Fort Lafayette. I imagine the colonel is a bold, able man.

JANUARY 18TH.—It was bitter cold last night, and everything is frozen this morning; there will be abundance of ice next summer, if we keep our ice-houses.

In these times of privation and destitution, I see many men, who were never prominent secessionists, enjoying comfortable positions, and seeking investments for their surplus funds. Surely there must be some compensation in this world or the next for the true patriots who have sacrificed everything, and still labor in subordinate positions, with faith and patient suffering. These men and their families go in rags, and upon half-rations, while the others fare most sumptuously.

We are now, in effect, in a state of siege, and none but the opulent, often those who have defrauded the government, can obtain a sufficiency of food and raiment. Calico, which could once be bought for 12-1/2 cts. per yard, is now selling at $2.25, and a lady's dress of calico costs her about $30.00. Bonnets are not to be had. Common bleached cotton shirting brings $1.50 per yard. All other dry goods are held in the same proportion. Common tallow candles are $1.25 per pound; soap, $1.00; hams, $1.00; oppossum $3.00; turkeys $4 to $11.00; sugar, brown, $1.00; molasses $8.00 per gallon; potatoes $6.00 per bushel, etc.

These evils might be remedied by the government, for there is no great scarcity of any of the substantials and necessities of life in the country, if they were only equally distributed. The difficulty is in procuring transportation, and the government monopolizes the railroads and canals.

Our military men apprehend no serious consequences from the army of negroes in process of organization by the Abolitionists at Washington. Gen. Rains says the negro cannot fight, and will always run away. He told me an anecdote yesterday which happened under his own observation. An officer, when going into battle, charged his servant to stay at his tent and take care of his property. In the fluctuations of the battle, some of the enemy's shot fell in the vicinity of the tent, and the negro, with great white eyes, fled away with all his might. After the fight, and when the officer returned to his tent, he was vexed to learn that his slave had run away, but the boy soon returned, confronting his indignant master, who threatened to chastise him for disobedience of orders. Caesar said: "Massa, you told me to take care of your property, and dis property" (placing his hand on his breast) "is worf fifteen hundred dollars." He escaped punishment.

Some 200,000 of the Abolition army will be disbanded in May by the expiration of their terms of enlistment, and we have every reason to believe that their places cannot be filled by new recruits. If we hold out until then, we shall be able to resist at all vital points.

JANUARY 19TH.—We have rumors of fighting this morning on the Rappahannock; perhaps the enemy is making another advance upon Richmond.

There was a grand funeral to-day,—Gen. D. R. Jones's; he died of heart disease.

Gen. Bragg dispatches that Brig.-Gen. Wheeler, with his cavalry, got in the rear of Rosecrans a few days ago, and burned a railroad bridge. He then penetrated to the Cumberland River, and destroyed three large transports and bonded a fourth, which took off his paroled prisoners. After this he captured and destroyed a gun-boat and its armament sent in quest of him.

We have taken Springfield, Missouri.

Rosecrans sends our officers, taken at Murfreesborough, to Alton, Ill., to retaliate on us for the doom pronounced in our President's proclamation, and one of his generals has given notice that if we burn a railroad bridge (in our own country) all private property within a mile of it shall be destroyed. The black flag next.

We have no news from North Carolina.

Mr. Caperton was elected C. S. Senator by the Virginia Legislature on Saturday, in place of Mr. Preston, deceased.

An intercepted letter from a Mr. Sloane, Charlotte, N. C., to A. T. Stewart & Co., New York, was laid before the Secretary of War yesterday. He urged the New York merchant, who has contributed funds for our subjugation, to send merchandise to the South, now destitute, and he would act as salesman. The Secretary indorsed "conscript him," and yet the Assistant Secretary has given instructions to Col. Godwin, in the border counties, to wink at the smugglers. This is consistency! And the Assistant Secretary writes "by order of the Secretary of War!"

JANUARY 20TH.—The rumor of fighting on the Rappahannock is not confirmed. But Gen. Lee writes that his beeves are so poor the soldiers won't eat the meat. He asks the government to send him salt meat.

From Northern sources we learn that Arkansas Post has fallen, and that we have lost from 5000 to 7000 men there. If this be true, our men must have been placed in a man-trap, as at Roanoke Island.

Mr. Perkins, in Congress, has informed the country that Mr. Memminger, the Secretary of the Treasury, has hitherto opposed and defeated the proposition that the government buy all the cotton. Mr. M. should never have been appointed. He is headstrong, haughty, and tyrannical when he imagines he is dealing with inferiors, and he deems himself superior to the rest of mankind. But he is no Carolinian by birth or descent.

We see accounts of public meetings in New Jersey, wherein the government at Washington is fiercely denounced, and peace demanded, regardless of consequences. Some of the speakers openly predicted that the war would spread into the North, if not terminated at once, and in that event, the emancipationists would have foes to fight elsewhere than in the South. Among the participants I recognize the names of men whom I met in convention at Trenton in 1860. They clamor for the "Union as it was, the Constitution as it is," adopting the motto of my paper, the "Southern Monitor," the office of which was sacked in Philadelphia in April, 1861. Our government will never agree to anything short of independence. President Davis will be found inflexible on that point.

There was a rumor yesterday that France had recognized us. The news of the disaster of Burnside at Fredericksburg having certainly been deemed very important in Europe. But France has not yet acted in our behalf. We all pray for the Emperor's intervention. We suffer much, and but little progress is made in conscription. Nearly all our resources are in the field. Another year of war, and ——!

JANUARY 21ST.—Last night the rain fell in torrents, and to-day there is a violent storm of wind from the N. W. This may put an end, for a season, to campaigning on land, and the enemy's fleet at sea may be dispersed. Providence may thus intervene in our behalf.

It is feared that we have met with a serious blow in Arkansas, but it is not generally believed that so many (5000 to 7000 men) surrendered, as is stated in the Northern papers. Gen. Holmes is responsible for the mishap.

Conscription drags its slow length along. It is not yet adding many to the army. The Assistant Secretary of War, and several others, "by order of the Secretary of War," are granting a fearful number of exemptions daily. Congress, I hope, will modify the exemption bill immediately. It is believed enrolling officers, surgeons, and others are permitting thousands to remain at home "for a price." Even clerks in the War Department, it is said, are driving a lucrative business in "getting men off," who should be on duty, in this war of independence. Young men in the departments, except in particular cases, will not stand in good repute "when the hurly burly's done, when the battle's lost and won."

Congress is at work projecting the organization of a Supreme Court.

JANUARY 22D.—We have reliable intelligence of the sinking of the U. S. gun-boat Hatteras, in the Gulf, by the Alabama. She was iron-clad, and all the officers and crew, with the exception of five, went down.

Gen. Whiting telegraphs to-day for the use of conscripts near Wilmington, in the event of an emergency. Several ships have just come in safely from abroad, and it is said a large number are on the way.

Mr. Miles yesterday reported, from the Military Committee, a bill repealing the existing exemption law, and embracing all male residents between the ages of 18 and 45 years. The President, or Secretary of War, to have authority to grant exemptions in certain cases, if deemed expedient. This ought to give us 200,000 more men. And they will be required.

A resolution was passed demanding of the Commissary and Quartermaster-General the number of their employees capable of performing military duty. It would be well to extend the inquiry to the War Department itself.

A letter from Norfolk states that at a grand ball, in celebration of the emancipation of the negroes, Gen. Vieille opened the dance with a mulatto woman of bad character as his partner; and Mrs. V. had for her partner a negro barber.

JANUARY 23D.—The Northern papers are filled with what purports to be the intercepted correspondence of Mr. Benjamin with Messrs. Mason and Slidell. Lord John Russell is berated. The Emperor of France is charged with a design to seize Mexico as a colony, and to recognize Texas separately, making that State in effect a dependency, from which cotton may be procured as an offset to British India. He says the French Consuls in Texas are endeavoring to detach Texas from the Confederacy. If this be a genuine correspondence, it will injure the South; if it be false (if the allegations be false), it will still injure us. I have no doubt of its genuineness; and that Mr. Sanders, once the correspondent of the New York Tribune, was the bearer. If Texas leaves us, so may Louisiana—and the gigantic Houmas speculation may turn out well at last.

Mr. Curry has brought forward a copyright bill; Mr. Foster, of Alabama, has introduced a bill to abolish the passport system—leaving the matter to railroad conductors.

A dispatch from Gen. Bragg assures us that our cavalry are still capturing and destroying large amounts of Rosecrans's stores on the Cumberland River.

Col. Wall has been elected Senator from New Jersey. They say he is still pale and ill from his imprisonment, for opinion sake. I hope he will speak as boldly in the Senate as out of it.

I met Gen. Davis to-day (the President's nephew), just from Goldsborough, where his brigade is stationed. He is in fine plumage—and I hope he will prove a game-cock.

Major-Gen. French, in command at Petersburg, is a Northern man. Our native generals are brigadiers. It is amazing that all the superior officers in command near the capital should be Northern men. Can this be the influence of Gen. Cooper? It may prove disastrous!

JANUARY 24TH.—Gen. Smith writes that he deems Wilmington in a condition to resist any attacks.

The exposition of Mr. Benjamin's dispatches has created profound mortification in the community.

Another transport has been taken from the enemy in the Cumberland River. No further news from Arkansas.

There is a white flag (small-pox) within seventy yards of our house. But it is probable we must give up the house soon, as the owner is desirous to return to it—being unable to get board in the country.

Gen. Rains, who has been making a certain sort of primer, met with an accident this morning; one of them exploded in his hand, injuring his thumb and finger. He was scarcely able to sign his name to official documents to-day.

Mr. Hunter has brought forward a measure for the funding of Treasury notes, the redundant circulation having contributed to produce the present fabulous prices in the market.

In the New Jersey Legislature petitions are flowing in denunciatory of Lincoln's Emancipation scheme, which would cast into the free States a large excess of profitless population.

JANUARY 25TH.—Gen. Lee mentions, in his recent correspondence, an instance of the barbarity of some of the Yankee soldiers in the Abolition Army of the Potomac. They thrust into the Rappahannock River a poor old negro man, whom they had taken from his master, because he had the small-pox; and he would have been drowned had he not been rescued by our pickets. It is surmised that this dreadful disease prevails to an alarming extent in the Yankee army, and probably embarrasses their operations. Our men have all been vaccinated; and their recklessness of disease and death is perhaps a guarantee of exemption from affliction. Their health, generally, is better than it has ever been before.

The government at Washington has interdicted the usual exchange of newspapers, for the present. This gives rise to conjecture that Lincoln experiences grave difficulties from the adverse sentiment of his people and his armies regarding his Emancipation Proclamation. And it is likely he has met with grave losses at sea, for the invading army in North Carolina has retired back on Newbern. But the season for naval enterprises is not over, and we are prepared to expect some heavy blows before April.

The revelations in the intercepted dispatches captured with Mr. Sanders, whose father is a notorious political adventurer, may be most unfortunate. They not only show that we even were negotiating for six war steamers, but give the names of the firms in Europe that were to furnish them. The project must now be abandoned. And Louis Napoleon will be enraged at the suspicions and imputations of our Secretary of State regarding his occult policy.

Gen. Rains has invented a new primer for shell, which will explode from the slightest pressure. The shell is buried just beneath the surface of the earth, and explodes when a horse or a man treads upon it. He says he would not use such a weapon in ordinary warfare; but has no scruples in resorting to any means of defense against an army of Abolitionists, invading our country for the purpose, avowed, of extermination. He tried a few shell on the Peninsula last spring, and the explosion of only four sufficed to arrest the army of invaders, and compelled them to change their line of march.

JANUARY 26TH.—The Northern papers say Hooker's grand division crossed the Rappahannock, ten miles above Falmouth, several days ago.

Burnside has issued an address to his army, promising them another battle immediately.

Gen. Lee advises the government to buy all the grain in the counties through which the canal runs. He says many farmers are hoarding their provisions, for extortionate prices.

I have no house yet. Dr. Wortham had one; and although I applied first, he let Mr. Reagan, the Postmaster-General, have it. He is a member of President Davis's cabinet—and receives $6000 salary.

There is much indignation expressed by the street talkers against Mr. Benjamin and Mr. Sanders, in the matter of the intercepted dispatches: against Mr. Benjamin for casting such imputations on Napoleon and his consular agents, and for sending his dispatches by such a messenger, in the absence of the President; against Sanders for not destroying the dispatches. Many think the information was sold to the United States Government.

Col. Wall has made a speech in Philadelphia. He said he should take his seat in the United States Senate as an advocate of peace; and he boldly denounced the Lincoln administration.

Our official report shows that our military authorities, up to this time, have burnt 100,000 bales of cotton in Arkansas. I have not learned the amount destroyed in other States—but it is large. Gen. Lee thinks the object of the expeditions of the enemy on the Southern coast is to procure cotton, etc. The slaves can do them no good, and the torch will disappoint the marauders.

Strong and belligerent resolutions have been introduced in the United States Congress against France, for her alleged purpose to obtain dominion in Mexico. It is violative of the Monroe doctrine. And Mr. Benjamin's accusation against the consuls (embracing a French design on Texas) might seem like a covert purpose to unite both the Confederate and the United States against France—and that might resemble premeditated reconstruction. But diplomatists must be busy—always at their webs. President Davis would be the last man to abandon the ship Independence.

JANUARY 27TH.—It is too true that several thousand of our men were captured at Arkansas Post, and that Little Rock is now in danger.

There seems to be no probability, after all, of an immediate advance of the enemy across the Rappahannock.

But there are eight iron-clad gun-boats and ninety sail at Beaufort, North Carolina, and, it is reported, 52,000 men. Wilmington will probably be assailed.

Mr. Foote said, yesterday, if Indiana and Illinois would recede from the war, he should be in favor of aiding them with an army against Lincoln. And all the indications from the North seem to exhibit a strong sentiment among the people favoring peace. But the people are not the government, and they sink peace and reconstruction together.

Yesterday Mr. Crockett, of Kentucky, said, in the House of Representatives, that there was a party in favor of forming a Central Confederacy (of free and slave States) between the Northern and Southern extremes. Impracticable.

To-day we have news of the bombardment of Fort McAlister, near Savannah. No result known. Now we shall have tidings every few days of naval operations. Can Savannah, and Charleston, and Wilmington be successfully defended? They may, if they will emulate the example of Vicksburg. If they fall, it will stagger this government—before the peace party in the North can operate on the Government of the United States. But it would not "crush the rebellion."

JANUARY 28TH.—The bombardment of Fort McAlister continued five hours yesterday, when the enemy's boats drew off. The injury to the fort can be repaired in a day. Not a man was killed or a gun dismounted. The injury done the fleet is not known. But the opinion prevails here that if the bombardment was continued to-day, the elongated shot of the enemy probably demolished the fort.

Last night and all this day it snowed incessantly—melting rapidly, however. This must retard operations by land in Virginia and probably in North Carolina.

JANUARY 29TH.—It appears from the Northern press that the enemy did make three attempts last week to cross the Rappahannock; but as they advanced toward the stream, the elements successfully opposed them. It rained, it snowed, and it froze. The gun carriages and wagons sank up to the hubs, the horses to their bodies, and the men to their knees; and so all stuck fast in the mud.

I saw an officer to-day from the army in North Carolina. He says the prospect for a battle is good, as soon as the roads admit of marching.

We have nothing further from the bombardment near Savannah. The wires may not be working—or the fort may be taken.

Gov. Vance has sent to the department a strong protest against the appointment of Col. August as commandant of conscripts in Northern Tennessee. Col. A. is a Virginian—that is the only reason. Well, Gen. Rains, who commands all the conscripts in the Confederate States, is a North Carolinian. But the War Department has erred in putting so many strangers in command of localities, where natives might have been selected. Richmond, for instance, has never yet been in the command of a Southern general.

There are indications of a speedy peace, although we are environed by sea and by land as menacingly as ever. The Tribune (New York) has an article which betrays much desperation. It says the only way for the United States Government to raise $300,000,000, indispensably necessary for a further prosecution of the war, is to guarantee (to the capitalists) that it will be the last call for a loan, and that subjugation will be accomplished in ninety days, or never. It says the war must then be urged on furiously, and negro soldiers sent among the slaves to produce an insurrection! If this will not suffice, then let peace be made on the best possible terms. The New York World denounces the article, and is for peace at once. It says if the project (diabolical) of the Tribune fails, it may not be possible to make peace on any terms. In this I see indications of a foregone conclusion. All over the North, and especially in the Northwest, the people are clamoring for peace, and denouncing the Lincoln Emancipation Proclamation. I have no doubt, if the war continues throughout the year, we shall have the spectacle of more Northern men fighting against the United States Government than slaves fighting against the South.

Almost every day, now, ships from Europe arrive safely with merchandise: and this is a sore vexation to the Northern merchants. We are likewise getting, daily, many supplies from the North, from blockade-runners. No doubt this is winked at by the United States military authorities, and perhaps by some of the civil ones, too.

If we are not utterly crushed before May (an impracticable thing), we shall win our independence.

JANUARY 30TH.—There is a rumor that Kentucky has voted to raise an army of 60,000 men to resist the execution of Lincoln's Emancipation Proclamation.

Fort Caswell, below Wilmington, has been casemated with iron; but can it withstand elongated balls weighing 480 pounds? I fear not. There are, however, submarine batteries; yet these may be avoided, for Gen. Whiting writes that the best pilot (one sent thither some time ago by the enemy) escaped to the hostile fleet since Gen. Smith visited North Carolina, which is embraced within his command. This pilot, no doubt, knows the location of all our torpedoes.

Nothing further from Savannah.

Mr. Adams, the United States Minister at London, writes to Mr. Seward, Secretary of State, dated 17th of October, 1862, that if the Federal army shall not achieve decisive successes by the month of February ensuing, it is probable the British Parliament will recognize the Confederate States. To-morrow is the last day of January.

I cut the following from yesterday's Dispatch:

"The Results of Extortion and Speculation.—The state of affairs brought about by the speculating and extortion practiced upon the public cannot be better illustrated than by the following grocery bill for one week for a small family, in which the prices before the war and those of the present are compared:

1860. 1863.

Bacon, 10 lbs. at 12-1/2c $1 25 Bacon, 10 lbs. at $1 $10 00 Flour, 30 lbs. at 5c 1 50 Flour, 30 lbs. at 12-1/2c 3 75 Sugar, 5 lbs. at 8c 40 Sugar, 5 lbs. at $1 15 5 75 Coffee, 4 lbs. at 12-1/2c 50 Coffee, 4 lbs. at $5 20 00 Tea (green), 1/2 lb. at $1 50 Tea (green), 1/2 lb. at $16 8 00 Lard, 4 lbs. at 12-1/2c 50 Lard, 4 lbs. at $1 4 00 Butter, 3 lbs. at 25c 75 Butter, 3 lbs. at $1 75 5 25 Meal, 1 pk. at 25c 25 Meal, 1 pk. at $1 1 00 Candles, 2 lbs. at 15c 30 Candles, 2 lbs. at $1 25 2 50 Soap, 5 lbs. at 10c 50 Soap, 5 lbs. at $1 10 5 50 Pepper and salt (about) 10 Pepper and salt (about) 2 50 —— —— Total $6 55 Total $68 25

"So much we owe the speculators, who have stayed at home to prey upon the necessities of their fellow-citizens."

We have just learned that a British steamer, with cannon and other valuable cargo, was captured by the enemy, two days ago, while trying to get in the harbor. Another, similarly laden, got safely in yesterday. We can afford to lose one ship out of three—that is, the owners can, and then make money.

Cotton sells at seventy-five cents per pound in the United States. So the blockade must be felt by the enemy as well as ourselves. War is a two-edged sword.

JANUARY 31ST.—We have dispatches from Charleston, to-day, which reconcile us to the loss of the cargo captured by the blockading squadron early in the week. An artillery company captured a fine gun-boat in Stone River (near Charleston) yesterday evening. She had eleven guns and 200 men.

But this morning we did better still. Our little fleet of two iron-clads steamed out of Charleston harbor, and boldly attacked the blockading fleet. We crippled two of their ships, and sunk one, completely raising the blockade, for the time being. This will frustrate some of their plans, and may relieve Wilmington.

The attack on Fort McAlister was a failure. The monitor which assaulted the fort sustained so much injury, that it had to retire for repairs.

Several blockade-runners between this and Williamsburg were arrested and sent to Gen. Winder to-day by Lieut. G. D. Wise. Gen. W. sent them to Gen. Rains. Mr. Petit and Mr. James Custis (from Williamsburg) came with them to endeavor to procure their liberation. Gen. Rains sent them back to Gen. W., with a note that he had no time to attend to such matters. Such business does not pertain to his bureau. I suppose they will be released.

Major Lear, of Texas, who was at the capture of the Harriet Lane, met on the captured steamer his mortally-wounded son, the lieutenant.

A few days ago, Lieut. Buchanan was killed on a United States gun-boat by our sharpshooters. He was the son of Admiral Buchanan, in the Confederate service, now at Mobile. Thus we are reminded of the wars of the roses—father against son, and brother against brother. God speed the growth of the Peace Party, North and South; but we must have independence.

Mr. Hunter was in our office to-day, getting the release of a son of the Hon. Jackson Morton, who escaped from Washington, where he had resided, and was arrested here as a conscript. The Assistant Secretary of War ruled him entitled to exemption, although yesterday others, in the same predicament, were ruled into the service.



CHAPTER XXIII.

Proposed fixture of prices.—Depreciation in the North.—Gen. Hooker in command of the U. S. forces.—Lee thinks Charleston will be attacked.—Congress does nothing.—Some fears for Vicksburg.— Pemberton commands.—Wise dashes into Williamsburg.—Rats take food from my daughter's hand.—Lee wants the meat sent from Georgia to Virginia, where the fighting will be.—Gen. Winder uneasy about my Diary.—Gen. Johnston asks to be relieved in the West.

FEBRUARY 1ST.—The Virginia Legislature, now in session, has a bill under discussion for the suppression of extortion. One of the members, Mr. Anderson, read the following table of the prices of

AGRICULTURAL PRODUCE.

Before the war. Now.

White wheat, per bushel $1 50 White wheat, per bushel $4 50 Flour, per barrel 7 50 Flour, per barrel 22 00 Corn, per bushel 70 Corn, per bushel 3 50 Hay, per hundred 1 00 Hay, per hundred 3 50 Hides, per pound 7 Hides, per pound 40 Beef, per pound 8 Beef, per pound 50 Bacon, per pound 13 Bacon, per pound 60 Lard, per pound 15 Lard, per pound 1 00 Butter, per pound 30 Butter, per pound 1 50 Irish potatoes 1 00 Irish potatoes 5 00 Sweet potatoes 1 00 Sweet potatoes 6 00 Apple brandy 1 00 Apple brandy 15 00 Wool, per pound 30 Wool, per pound 2 00

MANUFACTURES.

Bar iron, per pound 4 Bar iron, per pound 20 Nails, per pound 4 Nails, per pound 60 Leather, sole, per pound 25 Leather, sole, per pound 2 50 " upper, per pound 33 " upper, per pound 3 50

COTTON GOODS.

Osnaburgs, per yard 10 Osnaburgs, per yard 75 Brown cotton, per yard 10 Brown cotton, per yard 75 Sheeting, per yard 15 Sheeting, per yard 1 25

WOOLEN GOODS.

Coarse jeanes 45 Coarse jeanes 4 00 Crenshaw's gray 2 00 Crenshaw's gray 28 00

MISCELLANEOUS.

Coarse shoes $1 50 Coarse shoes $15 00 High-quartered shoes 3 50 High-quartered shoes 25 00 Boots 7 50 Boots 60 00 Wool hats, per dozen 7 00 Wool hats, per dozen 50 00

STOCKS.

Dividends on stocks in cotton companies, worth in May, 1861, $25 to $50 per share, now from $112 to $140.

It is doubtful whether the bill will pass, as most of the members are agriculturists.

It is said and believed that several citizens from Illinois and Indiana, now in this city, have been sent hither by influential parties, to consult our government on the best means of terminating the war; or, that failing, to propose some mode of adjustment between the Northwestern States and the Confederacy, and new combination against the Yankee States and the Federal administration.

Burnside has at last been removed; and Franklin and Sumner have resigned. Gen. Hooker now commands the Federal Army of the Potomac—if it may be still called an army. Gen. R——, who knows Hooker well, says he is deficient in talent and character; and many years ago gentlemen refused to associate with him. He resigned from the army, in California, and worked a potatoe patch, Yankee like, on speculation—and failed.

FEBRUARY 2D.—After the feat at Charleston, Gen. Beauregard and Commodore Ingraham invited the consuls resident to inspect the harbor, and they pronounced the blockade raised, no United States ship being seen off the coast. Then the general and the commodore issued a proclamation to the world that the port was open. If this be recognized, then the United States will have to give sixty days' notice before the port can be closed again to neutral powers; and by that time we can get supplies enough to suffice us for a year. Before night, however, some twenty blockaders were in sight of the bar. It is not a question of right, or of might, with France and England—but of inclination. Whenever they, or either of them, shall be disposed to relieve us, it can be done.

There was a fight near Suffolk yesterday, and it is reported that our troops repulsed the enemy.

The enemy's gun-boats returned to the bombardment of Fort McAlister, and met no success. They were driven off. But still, I fear the fort must succumb.

Senator Saulsbury, of Delaware, has been arrested by the Sergeant-at-Arms of the Senate, for his denunciation of Lincoln as an "imbecile." And a Philadelphia editor has been imprisoned for alleged "sympathy with secessionists." These arrests signify more battles—more blood.

FEBRUARY 3D.—It appears that Gen. Pryor's force, 1500 strong, was attacked by the enemy, said to be 5000 in number, on the Blackwater. After some shelling and infantry firing, Gen. P. retired some eight miles, and was not pursued. Our loss was only fifty; it is said the enemy had 500 killed and wounded; but I know not how this was ascertained.

Gold in the North now brings 58-1/2 cents premium. Exchange sells at $1.75. Cotton at 96 cents per pound!

They are getting up a fine rumpus in the North over the imprisonment of an editor.

To-day, when conversing with Judge Perkins in relation to having a passport system established by law, he admitted the necessity, but despaired of its accomplishment. "For," said he, "nothing can be done in Congress which has not the sanction of the Executive." He meant, I thought, from his manner and tone, that the Executive branch of the government was omnipotent, having swallowed up the functions of the other co-ordinate branches. I cannot understand this, for the Executive has but little appointing patronage, the army being completely organized, having supplementary generals, and all officers, under the grade of brigadiers, being promoted as vacancies occur.

FEBRUARY 4TH.—One of the enemy's iron-clad gun-boats has got past our batteries at Vicksburg. Gen. Pemberton says it was struck "three times." But it is through.

The enemy's presses reiterate the assertion that Gen. Longstreet is in Tennessee with his corps; and that the detachments from Gen. Lee's army amount to 75,000 men. This is evidently for the purpose to encourage Hooker's army to cross the Rappahannock. These presses must know that Gen. Lee's whole army was less than 75,000 men; that Longstreet is still with him, and that only one small brigade has been sent away to North Carolina. Well, let them come! They will be annihilated. But is it not diabolical in the New York Post, Times, etc. to urge their own people on to certain destruction? If Hooker had 300,000, he could not now come to Richmond!

We have extremely cold weather now; and, probably, the rivers in Virginia will be frozen over to-night.

FEBRUARY 5TH.—It snowed again last night. Tuesday night the mercury was 8 deg. below zero.

A dispatch from Gen. Beauregard says sixty sail of the enemy have left Beaufort, N. C., for Charleston. A British frigate (Cadmus) has arrived at Charleston with intelligence that the Federal fleet of gun-boats will attack the city immediately; and that the British consul is ordered away by the Minister at Washington. The attack will be by sea and land. God help Beauregard in this fearful ordeal!