Mr. Seward to Mr. Perry.

No. 3.]

Sir: Your despatch of December 28 (No. 17) has been received. The President appreciates highly the diligence and loyal spirit with which you have entered ad interim upon the duties of the legation at Madrid.

While we have good reasons for hoping that the war cloud which so suddenly and so strangely arose from the British islands, threatening an aggravation of the domestic evils of our country, will be happily dispersed, we have at the same time gratifying indications that the insurrection in the southern States has reached an interesting point, and may now be expected to be suppressed without unreasonable delay.

It finds itself hemmed in on all sides, and recent defeats sustained at Drainsville, in Virginia, at Port Royal, in South Carolina, and at Mill Creek, in Kentucky, cannot but abate the extravagant idea that they are invincible, which the insurgents have so carefully fostered.

I am, sir, your obedient servant,


Horatio J. Perry, Esq., &c., &c., &c. Madrid.