No. 58.
Mr. Logan to Mr. Frelinghuysen.

No. 120.]

Sir: Since the important event connected with the signing of a peace protocol by General Iglesias but little has occurred of importance not already known to you through the newspapers.

The recent defeat of Cáceres by Colonel Gorostiago at Huamachuco was a crushing blow to the Calderon-Montero party. It is claimed that [Page 119] his command is so completely broken up that he will never again be able to take the field.

Meantime the Iglesias movement is being strengthened daily. Meetings of both political parties, the Calderonists and Pierolistas, are taking place in Lima, which declare their adhesion to him. The various departments are declaring for him, and the negotiation for turning Lima over to him is now going on. It is thought that in a month more he will be installed in Lima with an overwhelming following at his back.

An important item of news is that the friends of Calderon and Montero in Lima are recognizing the installation of the Iglesias government as a foregone conclusion; and, in giving in their adhesion to it, have sent a special commission to Arequipa to importune Montero to come to an understanding with Iglesias. The feeling here in government circles is quite confident that peace will be formally signed between Chili and the allies before the close of the present year.

I have, &c.,

C. A. LOGAN.