The Sun.
London, England, 1864-05-27 00:00:00

American contest. He tells this overweening
member of an exclusive and prejudicial Go-
vernment, that he does not fairly represent
the spirit nor express the sentiments of the
English nation. This is perfectly true, and
it must be very annoying to be told so pub-
licly. However Eari RUSSELL has drawn down
his condemnation on himself by his unparalleled
impertinence, and the insufferable impartiality he
has displayed throughout the whole period of this
momentous struggle. If anything could add to
these errors it would be the assurance of declaring

that he is always actuated by the desire to preserve
a strict neutrality. Such a state of things cannot
be allowed to last for ever, and even now he is being
told of his oonduct in a way and after a fashion that
he cannot admire. The frank and independent style
of the justly indignant protestation of President
DAVIS must forcibly strike all who peruse his an-
swer, and stand out in bold relief from the mix-
ture of hesitating language and impudent assump-
tions that so especially distinguish Earl RUSSELL'S
communication. President DAVIS has studied the
history and tr:t.ditions of the Anglo-Saxon race to
too much purpose to believe that insult and injustice
form the component parts of any poliey that they
may uphold. Circumstances put wrong people in
wrong places, to the great detriment of their own
reputation, the injury of those they profess to serve,
and the disadvantage of all who are in any way
connected with them in periods of trial and per-

plenity. It will be well for all the parties concerned,
in immediate or remote capacities, with its workings,
when the Foreign Office has another Secretary of

State.

LATEST INTELLIGENCE.

LREIITER'S TELEGRAMS.]

AMERICA.

NEW YORK, MAY 18 (Morning.)
(Per the Scotia, via Crookhaven.)

No general engagement has occurred in Virginia
since the 12th.

The reported abandonment of Spottsylvania
Court-house by General Lee is untrue.
Both armies confront each other at Spottsylvania,
Loe holding a strong position north of the Court-
house. Heavy rains have prevented farther mili-
tary operations.

An impression gains ground that General Grant's
losses are larger, and the present condition of his
army less favourable than was previously supposed.
Reinforcements are being hurried forward to
Grant.

Southern papers state that all the damage done
by the Federals to Lee's comm unications has been
repaired.
The Confederates hate attacked General Butler
before D.rury'a Bluff, in front and in rear, inflicting
considerable loss, and compelling him to retire to
his lice 3.

The Confederates have also defeated General
Sigel at Newmarket, capturing five guns.

Ha retreated across the Shenandoah in good order
to Strasburg, with the loss of 650 'nen.
Gen. Sherman has occupied Dalton and Resaca,
Gen. Johnstone retreating towards Atlanta, hotly
pursued by the Federals. Two days fighting occurred
at Resacs.

A portion of Gen. Banks army has been compelled
,o March overland to the Mississippi River fighting

.s way out.

A forged proclamation was issaed this morning
announcing a call by President Lincoln for 400,000
men, and declaring Grant's campaign closed. The
publication of the document caused intense though
temporary excitement.
COMMERCIAL INTELLIGENCE.

Money easy. Gold 82 prem. Stocks firm and
advancing. New York Central, 136 i; Illinois, 1331;
Erie, 1151.

(FROM THE TIMES' CORRESPONDENT.)

NEW YORK, MAY 17.

Up to 8 a.m. on Monday there had been no fur-
ther engagement or movement of importance by
either Grant or Lee.

Lee's reported crossing of the river Pa, on Thurs-
day night, is contradicted—his centre and left still
maintain their positions in front of Spottsylvania
Courthouse. On the 13th inst. Meade announced
to the Federal troops that they had captured 18
canton, 22 colours, and 8,000 prisoners; but that
their work was not yet over, and exhorted them to
renewed courage and fortitude.

Heavy rains on Friday, Saturday, and Sunday
have prevented Grant from advancing ; but it is
believed that, in reality, be has been compelled to
await the arrival of reinforcements. From 50,000
are asserted to have been sent.

General Sheridan penetrated to the outer line of
the Richmond defences, where he was attacked by
Stuart's cavalry, and driven into Butler's lines at
Turkey Island Bend, cm James River, with the loss
of upwards of 1,000 men killed, wounded, and
missing. He reports, under date the 9tb, having
destroyed portions of the Fredericksburg and the
Virginia Central Railways, and a large quantity of
rolling stock and stores.
Confederate despatches of the 11th announce that
the Virginia Central Railway had been restored to
running order.

General Butler reports sharp skirmishing, and

the occupation of some unimportant Confederate
works in rear of Fort Dirling, by Baldy Smith's
and Gilmore'a forces on the 11th.

General Beauregard, on the 11th inst., made a
detour to the west of the Petersburg and Richmond
Railway, marching in the direction of Richmond,
and is believed to have joined Lee.

Secretary Stanton published despatches from
Sherman, which state that, by a flank movement
gainst Resaca, he compelled Johnston to evacuate
Dalton on Friday night. An engagement between
the armies of those Generals ensued on the follow.
tag day, which was continued on Sunday. Sher-
mart admits a loss of 3,000 killed and wounded.
At midnight Johnston's forces evacuated Resaca,
retiring towards Romc, Sherman is reported to be
pursuing,

MAY 18, 11 A:m.

Despatches from Grant's army, to noon yester•
day, report considerable skirmishing on Monday
afternoon and night. The lines of both armies re-

main unchanged.
Official despatches from Butler silted that on
Monday, during a thick fog, the Confederates sur-
prised Baldy Smith's forces, and drove them from
their position in great confusion and with heavy
loss. The Federals subsequently rallied, and the
Confederates returned to their defences. Butler
was also attacked at the same time, and forced to
retire to his entrenchments, near James River.

The defeat of Sigel, reported on Saturday last,
was premature. On Sunday he was attacked at
Newmarket, in Shenandoah Valley, by Breckin•
ridge, and driven to Strasburg, with loss of nearly
1,000 rcen and five cannon.

The steamer Fulton, from Port Royal, reports a
genera' engagement in progress between Admiral
I)ahlgren's fleet and Confederate batteries in
Charleston, including Sumter, on the 15th•
Some of this morning's papers publish a procla-
mation, purporting to be issued by Pres►dent. Ling
coin on the 17th inst., which, after presenting the
militarysitnation in a most gloomy light, and apg