The Sun.
London, England, 1863-10-27 00:00:00

THE CIVIL WAR IN AMERICA,

(Ftonz the Correspondent of the Times.)
NEW YORK, Oct. 13.

Rumours of disasters to the Federal arms both on
the Rapidan and Chattanooga have been current
during the whole of yesterday and to-day, and have
sent up the premium on gold from 48, at which it
stood on Saturday, to 56 this afternoon. The Go-
vernment is in possession of despatches from both
quarters which it refuses to publish; and thus adds
to the general alarm, until it almost amounts to a
panic. But the steady rise in the premium prior to
Saturday and its sudden leap to-day are not to be
solely attributed to the unfavourable opinion in the
money market of the rumours from the Repidan,
from Chattanooga, and from Charleston, but to
other and purely economic causes. The "Fall" or
autumn importation of dry goods and articles of
luxury from England and France, rendered larger
than usual by the extravagant habits of the 21071
veaux riches, and by the gradual exhaustion of the
large stock of goods previously on hand, has led to
a double demand for gold. As Europe does not
need American breadstuffs this season in anything
like the qui.,ntity of past years, and as America can-
not consequently balance importation by exporta-
tion, the difference must be paid in the precious
metals. The exports of produce for the week end-
ing,on Saturday last were of the value in green-
backs of 2,413,600 dols., and in gold of about
1,600,000 dole.; while the imports were of the value
of 2,994,500 dots. in gold, showing a difference of
1,334,300 dols. to be now or he:caller remitted to
Europe. The total exports from January to Oeto-
her have been 93,000,000 dole. in gold valuation, and
of imports for the same period 145,817,776 dots, from
which it follows that America has purchased from
Europe to the amount of 53,000,000 dols, more than
eho has told. During the time gold to the amount
of 35,000,000 dots. hag been retnittt-d from New
York and about 10,00;000 dots. direct from Cali-
fornia, leaving, if these figures be correct, about
8,000,000 dots, still due to the Old World for com-
modities which the New World is net ab:e to pro-
duce. The natural effect has been, in conjunction
with the war news, to raisa the premium on gold
from the low level of 20 or 22 per cent,, when Mr.
Chase would gladly keep it, to the high rate of 56,
which it reached this afternoon. And, as Mr. Chase
will not take his own greenbacks in pas meet of
duties on imports, but insists upon specie, there is
a large domestic, as well as foreign demand for
hard money. These influences have not only com-
bined to make gold scarce for trading purposes, but
to deter holders from effecting sales, in the expecta-
tion of that further rise which is certain to occur
under one or all of the lour following contingencies,
each of which is both possible and probable :
First, the capture of the whole army of Cosencrans;
second, the defeat of General Meade ; third, the rais-
ing of the siege of Charleston; and, fourth, the re-
appearance of Mr. Chase in tho money-market as
the borrower of another sum of 50,000,000 do's, to
pay the amount which was due to the army and the
navy on the first of this month. Should these
events, or any one of them, occur simultaneously, it
is safe to calculate that gold will reach a higher
premium and greenbacks a lower depreciation than
has been known since the commencement of the war.

To-day the State elections in Pennsylvania and
Ohio will be decided; but the results are not likely
to be known with anything like accuracy until the
end of the week. The issues raised in both States
by the candidature of Judge V oodward in the one,
and Mr. Vallandigham in the other, are political
rather than national. Judge Woodward has said
little ; but his friends assert in his behalf that he is
not opposed to the continuance of the war against
the Sonth, but only to the mode in which Mr.
Lincoln conducts it, and to the suspension of the
popular liberties, which he has deemed necessary to
its successful prosecution. General M'Clellan, de-
parting from his usual prudent course of saying
nothing, has written a letter to a Mr. Biddle, of
Pennsylvania, in which he expresses his belief that
the election of Judge Woodward is called for by the
interests of the nation, and in which he takesground
in no equivocal tormsagainst the whole policy of the
Administration. Gen. M'Clellan is opposed to the
conversion of the war into an agency for the eman-
cipetion of the slaves. " Understanding," he says,
" that Judge Woodward agrees with me that the
sole objects of this war are the restoration of the
unity of the nation, the preservation of the Consti-
tution, and the supremacy of the laws, I would,
were it in my power, give the Judge my voice and
my vote." This is the Democratic platform, very
good as far as it goes, but having the fatal demerit
of being utterly unable to bear the weight of the
superincumbent circumstances. The Union is dead,
and the Constitution has become a piece of waste
paper. Gen. M'Clellan and the War Democrats
would revive the dead, re-establish voluntary Union
by force, and set up again a Constitution which, by
the consecration of slavery, would inaugurate a new
rebellion at no distant day, with this only difference,
that the rebels and secessionists of that time would
be the Republicans and Abolitionists of this; and
that Mr. Lincoln, Mr. Seward, Mr. Chase, Mr. Sum-
ner, and others would probably find themselves the
occupants of Forts Lafayette and M'Henry instead
of the more logical reasoners who people those dun-
geons to-day. In Ohio the issues are the same as
in Pennsylvania. Mr. Vallandigham hopes against
hope that the unity of the nation will be restored,
and that the rivers of blood which have been shed
will be bridged over, so that peaceable and friendly
men may pass to and fro as happily and uncon-
strainedly as before; though, with the spirit of a
lawyer rather than with that of a soldier, he
believes that an armistice for six months would b 3
far more likely to produce the desired result
than any prosecution of the war, however suc-
cessful. In reality the only importance to the
tAme-
rican people and to the outer world of the struggle
to be decided to-day iu these two influential Stated
will be the effect of the victory of the one or the
other party upon the Presidential canvass of next
year. Whatever the decison may be, the Adminis-
tration and their friends, comprising all the sincere
Abolitionists and theoretical Republicans, as well
as the contractors, will leave no stone unturned to
gain the victory. They have resolved to win by the