[Extracts.]

Mr. Seward to Mr. Adams.

No. 264.]

Sir: The European mail is laid before me only this morning. My despatches for Europe must go to-morrow morning. I will defer replies to complaints abroad until the departure of another steamer.

[Page 107]

My despatches of last week gave information of the surprise and capture of Colonel Kenley’s small force at Front Royal, and of an attack by Jackson with a superior force upon General Banks, and his well-conducted retreat from Winchester across the Potomac, at Williamsport. I mentioned that all due preparations had been made to retrieve these misfortunes, and that I thought they would be followed by no serious results. The week which began so in auspiciously was filled with events indicative of a general and speedy triumph of the Union armies.

First. Recruiting, except under heavy restrictions, had been suspended for some months by order of the government The reverses alluded to favored a removal of those restrictions, and an order for renewal of enlistments, with a view to re-enforce our army in Virginia and supply the waste which had occurred in all the armies. The country responded at once, with even greater enthusiasm than a year ago. There is a third uprising of the people in behalf of the Union, inspired by confidence in the administration and in the land and naval forces.

General Banks’s army, which was reduced to six thousand men, and so unfortunately put hors du combat, swelled in the course of the week to twenty thousand men, and it is now, in its turn, pursuing the enemy who had driven it out of the valley of Virginia. Large forces were also sent into the valley from the east, the south, and the west, to meet the retiring insurgents, and, as we trust, to bring the war in that quarter to a prompt conclusion.

While these transactions of minor importance were engaging the most careful consideration of the government, the attention of the nation, and of the world, so far as it occupies itself with our affairs, was all the time fixed upon two points, Corinth and Richmond, where battles seemed imminent, which, resulting in our favor, must be decisive of the painful controversy. The insurgents, demoralized and broken, on the 28th day of last month, evacuated the former position with all its advantages and its prestige, and thus the war in the Mississippi valley may be deemed virtually ended.

During the early part of the week General McClellan fought battles and won advantages at Richmond of great moment. On Saturday the insurgents, availing themselves of a severe storm which, flooding the valley of the Chickahominy, seemed likely to divide our forces, attacked our left on the south side of that river with a superior force and caused it to break, with some loss of ordnance and stores. Re-enforcements, however, were soon brought forward, and the position lost was regained. The two armies bivouacked on the field at night. The battle was renewed the next morning with the result of a repulse of the insurgents at every point. The army of General McClellan will be rapidly strengthened, although it is already deemed adequate to the capture of Richmond.

Misunderstandings have occurred between General Butler and the consuls of several maritime states at New Orleans. This was, perhaps, unavoidable under the circumstances. You will receive herewith a paper which will show you the course that has been taken by the President to remove any just ground of complaint that may exist, and prevent any further difficulties of that kind.

Finally, I have the pleasure to inform you that a wholesome moral sentiment is already rapidly revealing itself in the insurrectionary region. It shows itself somewhat slowly indeed, but nevertheless distinctly at Norfolk. Regiments for the federal army are forming in North Carolina. * * * * * * * In Arkansas, Alabama, and Louisiana there are unmistakable signs of returning loyalty. No American now indulges any doubt that the integrity of the Union will be triumphantly maintained.

We have good authority for questioning the fact of any such general [Page 108] destruction of cotton by the insurgents as their organs have asserted. The blockade was relaxed at the ports of Beaufort, Port Royal, and New Orleans yesterday, in pursuance of the proclamation of the President, heretofore issued.

I am, sir, your obedient servant,

WILLIAM H. SEWARD.

Charles Francis Adams, Esq., &c., &c., &c.

[Same to Mr. Dayton, No. 161.]