The Express.
London, England, 1863-02-16 00:00:00

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TELEORAPBIO INTELLIGENCE.

ARIMICA.

THE BLOCKADE OF CHARLESTON.

(num%

QUEENSTOWN, Fn. 15.

The Royal Mail steamaiip Arabia, from Boston
on the 4th, and Halifax on the Gth inst., arrived
here at 5 p.m. to-day. She brings 58 passengers,
301,783 dollars in specie, landed all mails and
two passengers, and proceeded at 5.30 p.m. for
Liverpool. All well.

(Par Arabi►)

NEW YORK, Fes. 3, Evxmo.

General Banks' whole expedition has left New
Orleans. Its supposed destination is Port Hudson.
General Foster's expedition from Beaufort has
been seen off Cape Fear, en route for Port Royal.
The Federals at Vicksburg number 80,000.
Southern journals assert that it was the British
steamer Spitfire which sunk the Federal steamer
Mattered off Galveston.
The Howse of Representatives has passed the bill
to arm negroes by a vote of 83 to 54. The bill
provides that the President may arm such numbers
as he may deem necessary. No slaves of loyal
owners are to be thus employed. No recruiting
offices are to be opened in Delaware, Maryland,.
Virginia, Kentucky, Missouri, or Tennessee with-
out the permission of the governors of those States.
The republican candidate, ex-Governor Morgan,
has been elected United States senator from New
York.

The engagement between Generals Corcoran
and Pryor near Suffolk was without important
result. The Confederates retreated towards
Franklin.
Jefferson Davishas had an interview with the
Governor of North Carolina. It is reported that
the Governor insisted upon the reserve or recall of
a sufficient number of troope for the protection of
the State.

The Southern journals publish a despatch from
Charleston, stating that the Federal gunboat P.
Smith, carrying 11 guns, surrendered uncondition-
ally to the Confederates at Stone River.
The Federal Navy Department has received a
despatch to the effect that the P. Smith was
captured through getting ashore.
Southern reports state that the Federal iron-clad
steamer Montauk was badly injured in her turret
by the guns of Fort WAllister, on the Ozechee
River, and compelled to haul off.
The Federal Navy Department has a despatch
that the Montauk remained four hours under the
enemy's guns without receiving any injury.
The Richmond Whig asserts that the British
steamer Princess Royal, with a valuable cargo of
guns and powder, was captured whilst endeavouring
to outer Charleston.

It was reported in Havana that heavy firing had
been heard at Matanzas and Cardenas, supposed to
be caused by an engagement between Federal gun-
boats and the steamer Oreto. The rumour was
strengthened by the report of the gunboat Cayuga
that shelled observed a steamer on fire, supposed to
be the Oreto, with three othervessels firing into her.
It is rumoured that the Harriet Lane has escaped
from Galveston.

The bombardment of Galveston by the Federal
has commenced, but the result is not at present
known.

General Magruder has declared Galveston open
to the trade of all friendly nations.
Another British steamer successfully ran the
blockade into a Southern port.
At New Orleans Confederate notes were rising,
and in some demand.
The .Neto York Tribune asserts that President
Lincoln had offered General Butler the command at
New Orleans, with additional powers to raise
African regiments on the Mississippi. General
Butler, however, hesitated to accept, fearing that
the means offered were inadequate to the ends to
be accomplished.
The editor of the Philadelphia Journal has been
released.

It is rumoured that the legislature or congress
will take measures to check speculation in gold.
It is reported that the Senate Finance Committee
is opposed to a further issue of legal tender notes.
Secretary Chase's Bank scheme is being pressed
in Congress.

COMMERCIAL INTELLIOLNCE,
NEW YORK, FAA 3, Evssnra.

Money tighter. Gold 55 per cent. premium. Ex-
change on London, bankers' bills, 171. Stocks
dull. New York Centrals, 118 i. Illinois Shares,
90i. Erie, 721. Cotton very firm ; middling
Upland, 89c.
• --

NEW YORK, Fzig. 4, Mmururo.

The Richmond papers contain Charleston des-
patches, stating that two Confederate iron-clad
gunboats, accompanied by three steamers, went out
from Charleston at one o'clock on the morning of
the 31st ult., and attacked the blockading
squadron.
The engagement commenced at four o'clock.
_ .

The Confederate gunboats sunk the Federal gun-
boat Mercedita, carrying 11 guns, and another
Federal gunboat, whose name is unknown. They
disabled the Federal steamer Quaker City, but she
escaped with the loss of one wheel. _ _ .

The Confederates also set four Federal vessels on
tire.

The blockading fleet consisted of 13 vessels, with
two first-class frigates.
The Confederate gunboats returned to Charles-
ton, where they were received with immense enthu-
siasm.

Confederate Commander Ingraham officially re-
ported that the blockading fleet had gone out of
sight

General Beauregard then issued a proclamation
that the Confederate fleet had attacked the block-
ading squadron off Charleston, and sunk, dispersed,
or driven off and out of sight for the time the entire
hostile fleet. He therefore formally declared that
the blockade of Charleston by the United States
was raised by the superior force of the Confederates
from and after January 31.
General Beauregard further placed steamers at
the disposal of the foreign consuls to see for them-
selves that no blockade existed, and according to
the Richmond papers the British Consul went on
hoard the steamer Petrel five miles beyond the
usual anchorage of the blockaders, but could see
nothing of them with gleams.
The Richmond papers state that the foreign
consuls have held a meeting at Charleston, and
were unanimously of opinion that the blockade
had been legally raised.
Late in the evening of the 31st alt. four vessels
cd the blockading squadron reappeared, and on