The Sun.
London, England, 1870-08-22 00:00:00

THE SUiNI, LONDON, MONDAY EVENING, AUGUST 22, 1870.

FHE MONE Y M ARKET

AND

COM MERCIAL INTELLIGENCE.

CITY, Two o'CLocx.

The Stock Market to-day was depressed and Govern-
ment securities gave way to a small exteut. The prices in
the Foreign Market were lower, but in Railways there
was no variation.

Consols are now 911 to 91 for money,land 91 to
92 for account ; Three per Cent. Reduced, 9n to 911 ;
New Three per Cents., 91 to 92 ; India Five per
Cents., 1111 ; ditto Four per Cents., 101 to 1001 ;
Metropolitan Board of Works, 3i per Cent. Stock, 92j to
92k.
In the Foreign Market Brazilian Bonds of 1865 are
911 ; Egyptian Seven per Cents. of 1864, 85 to 87; ditto
of 1868, 75 to 74k'; Spanish of 1E67, 27 to 261; ditto of
1869, 261 to 251; ditto Quicksilver, 741 to 74 ; Peru-
vian, 87 to 86k; Turkish Five per Cents. of 1865, 44 to 43k;
ditto of 1869, 58 to 57f; and Five per Cent., Italian of
1865, 77 to 82.

The Railway Market—Metropolitan are 66 5 ; Great
Eastern 36} to 35i ; London and Brighten, 40 to 40a ;
Caledonian, 741 to 741; South-Eastern, 711; Manchester,
Sheffield, and Lincolnshire, 422 ; Great Northern, 1221 to
122 ; ditto (A), 133 2 ; North Eastern, 1400 ; London
and North-Western, 1271 ; Midland, 1272 ; Lancashire
and Yorkshire, 131 ; Great Western, 691.
Canada Six per Cents. are quoted 107 ; New
South Wales Five per Cents., 100 to 1011; New
Zealand Five per Cents., 98 to 100; Queensland, 106 8;
Victoria Five per Cents., 111; and ditto Six per Cents.,
113.

Anglo Mediterranean, are 131 British Indian Exten-
sion 6 to 61 ; Falmouth, n to 9 ; British Indian
Submarine, 71.
In American Securities, Five-Twenty Bonds are quoted
at 881 to 89; Ten-Forties, 83 to 831; Erie Shares, 171
to 17i ; Illinois, 1071 to 107 g.
In Bank shares Alliance are quoted 14 ; Anglo-
Austrian, 191 ; Chartered Mereantile, 25 to 27 ;
Consolidated, 1 prem ; Imperial Ottoman, 121 12,; Lon-
don and County, 49 ; London and Westminster, 601 591;
London Joint Stock, 331; and Union of London, 36 37.
In Miscellaneous Shares Berlin Water Works are quoted
141; Viceroy of Egypt 7 per cent. Mortgage Loan, 761;
National Discount Company, 111; and Peninsular and
Oriental Steam, 42.
Advices from Paris state that all reports as to the pro-
bable price of issue of the second loan of £20,000,000 sanc-
tioned by the Chambers are premature, the Minister of
Finance having delayed the announcement of the terms,
in the hope of a success in the campaign which might en-
able him to bring out the loan at a high figure.
According to the Levant .Herald the Shah of Persia is
expected at Constantinople soon with a retinue of 6,000
persons, and from this visit some important political re-
sults are anticipated.
By the Cape mail we learn that the half-yearly meeting
of the shareholders of the Cape of Good Hope Bank was
held on the 15th ult., when a dividend of £3 per share for
the half-year was declared. The shareholders of the Cape
Commercial Bank, at their meeting on the 7th ult., agreed
to a dividend of 5 per cent. The eleventh annual general
meeting of the Simon's Bay Dock or Patent Slip Com-
pany was held on the 14th ult. The report was adopted,
and a dividend of 12 per cent. was declared.

The award by the Marquis of Salisbury and Lord
Cairns in the matter of the London, Chatham, and Dover
Railway has been issued. In the discharge of liabilities
priority is given to the Common Fund Debentures and
Stock, Victoria Station Improvement Debentures and
Stock, certain Debentures on the General Under-
taking, and the Western Extension Debentures and
Stock ; all these, with arrears of interest, are to be con-
verted into an " Arbitration Debenture Stock," bearing
interest at 4 per cent., and of the amount of £5,000,000.
Two other stocks, the " Arbitration Preference,'
£4,394,289, also bearing 4i per cent. interest, and an
" Arbitration Ordinary," £7,743,405, to rank after the
Preference, are also created, and into one or otherdenomi-
nation, partially or wholly, every claim on the company is
to be converted.

The Japanese loan lately introduced by Messrs. Schro-
der, and which, after having been eagerly subscribed,
went to a rather heavy discount, is again at par, although
all other foreign securities are still much below the prices
current when that loan was brought out. The recovery
is to be attributed to the favourable and steady character
of the advices by each mail, which indicate that while
Europe is in the convulsions of war Japan is emerging
from centuries of fanaticism to take a prominent place
among commercial nations. Among other steps for good
organization has been the establishment of a Commercial
Department for the purpose of carrying out more effectu -
ally all matters connected with foreign trade. Late
advices from Sir Harry Parkes also describe an excursion-
of 300 miles into the interior, during which he had oppo r
tunities of observing the prospect of the grain harvests,
together with that of the silk culture.

The report of the London, Chatham, and Dover Rail-
way Company for the half-year ending 30th June last has
been issued. It states that the gross receipts have been
£313,668 4s 4d, as compared with £306,668 78 3d in the
corresponding period of 1869 ; while the expenses have
been £201,155 2s, against £200,375 16s 10d, and the net
result is a balance of £112,513 2s 4d, as compared with a
balance of £106,292 10s 5d for the corresponding period of
last year.

MARKETS.—Tnis DAY.

(CENTRAL PRESS TELEGRAMS.)
IRISH SYMPATHY WITH FRANCE.

Lesage, a French resident in Dublin, who organised
subscriptions for the French wounded, has received the fol-
lowing communication :—" Sir, The Empress Regent has
received with your letter a bank order for 5,000 francs,
which you addressed to Her Majesty as the first offering
of the Irish people in favour of the wounded of the
French army. The generous sentiments which inspired
this offering, and the wishes that Ireland has expressed
for the success of our arms, and the happiness of the
Imperial family, have • deeply touched the heart of her
Majesty. In commanding me to express the high satis-
faction she feels at your patriotic initiative, the Empress
Regent has deigned to ask me to pray you to be to the
subscribers the interpreter of all her Majesty's gratitude
and sympathy. Receive, &c., for the Chief Secretary,
Marc Pietir. Paris, 19th August, 1870. Office of Secre-
tary of her Imperial Majesty."

OUR COTEMPORARIES---This Morning

THE DANGER TO PARIS,

The Times observes that the bulk of the German army
can certainly not for some time be expected to march
upon Paris. No one can foresee how long Metz may
hold out ; and, so long as it does, a force at least twice as
large as the garrison within its walls must be left in ob-
servation of that fortress.' That the Crown Prince
alone, or with sufficient reinforcements from the
main Prussian army, may defeat the army at Chalons,
and clear the way to Paris before him, is, however, by no
means unlikely. The Prussians may march upon Paris ;
but they need not attack it. They have only to cut off
its communications by land and water, by road and rail-
road, to reduce two millions of people shut up within the
detached forts to a struggle for subsistence. The
defence of a capital or of any large place, moreover, may
have practical pufposes when it is a means, but not as an
end. If before the siege of Paris commences there were
still an army in France holding the open field, or if one
could be organised in the provinces, no matter at what
distance, or if the garrison in the city could be
drawn up in a force sufficiently large and compact to
fight without as well as within the gates, no doubt the
valour of the soldiers and citizens might be made avail-
able, and the fortune of war might yet be reversed. But
the key to the whole position is time ; and what time
will be allowed to General Trochu either to arm
his twenty miles of fortifications or to drill
and discipline his hundreds of thousands of re-
cruits, or to cater for his two million " useless mouths."
All things considered, it seems difficult to believe that the
partisans of the defence of Paris, and especially General
Trochu, seriously contemplate a repetition of the melan-
choly scenes which terminated the campaign of 1814.
We prefer to think their object in this projected defence
of Paris is the same as that which prompts them to with-
hold unfavourable news. It is, we believe, the wish to
avoid commotions to which a knowledge of the true
oondition of affairs could scarcely fail to give rise.
In other respects, with all its defences, the great city is
not more capable of resisting a siege at the present day
than it was fifty-six years ago. It is, on the contrary, we
apprehend, weaker—weaker by all the additional num-
bers of unwarlike population ; weaker by all the comforts
and luxuries which our civilisation reckons among the
necessaries of life, and which can hardly be compensated
by the undoubted heroism of the inhabitants.

SUNDAY'S BATILI4I.-BORNY.

A Metz paper, the Vceu National, gives a clear account
of the serious battle—though inferior in importance to
those of Tuesday and Thursday—which took place on
Sunday week at Borny, on the east side of Metz. It
says :—By order of Marshal Bazaine the camp under the
walls of Metz was raised on Sunday morning, and the
bulk of the forces made a retrograde movement tc
gain the road leading from Metz to Verdun. Pon
toon bridges were thrown above and below the
town across the several branches of the river, an i
towards the afternoon the columns might be seer
debouching from the road, and passing over from the
right bank to the left. But as the greater portion of the
French forces was on its way from Longeville to Moulins,
a large Prussian corps d'armee advanced on the position it
had just evacuated. The first shots were fired about
noon towards the extreme left, at Ste. Barbe, a vil-
lage about eleven kilometres (about seven miles) from
Metz. It soon became evident that the engagement was
serious. The French corps, which had not yet passed the
river, faced right about, and the battle soon extended from
Ste. Barbe to Grigy, its length being about three leagues
(seven and a half miles). The Prussians were every minute
receiving fresh reinforcements, and the French forces,
unable to check their advance, slowly fell back upon
Metz, fighting all the while. The Prussians, however,
were for a long time kept at bay at the village of
Servigny, where a fierce struggle took place. The vil-
lage and the neighbouring hamlet of Paixe (five miles
from Metz) suffered considerably. They were taken and
retaken by storm several times, and were partly burnt
down. A desperate conflict also took plac9 for the pos-
session of Noisseville, which was also partly destroyed by
fire. The Prussians, however, managed to' carry them,
and debouched by the valleys of Noisseville and
Lanvalliere. On that latter point they were received
by an artillery fire which committed great havoc in
their ranks, and two batteries of mitrailleuses planted
in the orchards of the farm of Bellecroix, swept whole
ranks away at each discharge. At the same time the 4th
Corps (General Ladmirault's) which had already reached
the Moselle, retraced its steps, and debouching into the
plain by the valley of Vallieres, was able to attack the
Prussians in flank, whilst the French artillery thundered
against him from the heights of Vantoux. The Prussians,
whose object was to occupy the French outer line of de-
fences, advanced no further; they continued to fight
with coolness and intrepidity, but visibly lost ground.
The Chateau of Colombey was taken and retaken three
times. A portion of the Prussian forces having advanced
to Borny, the fort St. Quentin's artillery fired a few
rounds, and received a few harmless shells. As night fell,
the Prussians resumed their attack on Servigny, but twc
regiments concealed in the vines opened fire on them at
close range, and threw them into confusion.

L
TUESDAY'S BATTLE-VIONVILLE.

The correspondent of the Standard, writing from Dan-
willer, gives so me details of the great battle fought on
Tuesday, no account of which, so tardy is the march of
nesirs, has previously appeared. Of course this corres-
pondent writes in ignorance of the still more terrible fight
which took place on Thursday :—On Monday night a
great part of the French army was placed in battle line at
Gravelotte, at the intersection of the two roads leading to
Verdun; no engagement took place on that evening.
I left at five o'clock p.m., and at seven I
was in the neighbourhood with the Chas-
seurs d'Afrique, hunting the Uhlans. I
know well the position of the two armies, and send you a
sketch of the battle-field. At nine on Tuesday morning
the Prussian line had advanced as far as Doncourt, and
their tirailleurs began the attack on the French positions,
occupying Rezonville and Vionville. Those villages are
situate on a plateau, known as La Plaine de la Warfe, at
a distance of 14 kilometres from Metz, and commanding
in the eastern direction a full view of Metz, and the
Valley of
.the Moselle. The battle-field is situate
between the two roads leading to Verdun near Grave-
lotte. From nine o'clock, when the Prussians began the
first attack, up to eight in the evening, the tremendous
struggle has been lasting, and from the different reports
I have been able to gather, no engagement since the be-
ginning of the war has been so serious in losses on beth
sides ; two hundred thousand men appear to havebeen en-
gaged, during the day, on one aide, part of the united army
of Prince Frederick Charles and Count Steinmetz ; on
the French side the three corps of Marshal Bazaine and
the Imperial Guard. The 2d Corps of General Frossard,
and the cavalry of General de Forton, accomplished
prodigies of valour, but at a very dear cost; they lost a
great many men, and were successfully reinforced by the
3rd Corps and the divisions occupying Rezonville : in one
of these furious engagements General Bataille, com-
manding the 2nd division, 2nd Corps, has been seriously
wounded. The Prussians have successively advanced
with new and strong colums. Their forces
were considerable, and by far superior to the
French. The greatest part of the day they
maintained the offensive with a certain success,
and according to their custom towards the evening brought
an immense corps d'armee of entirely fresh troops,
attacking vigorously the left wing of the French and
trying to break it. After several attempts, more or less
successful, they were definitely repulsed on the line, and
by the evening Marshal Bazaine was occupying the head
points of Prussian lines. The losses are considerable on
both sides, and until I have full details and true num-
bers I shall repeat the words of Mashal Bazaine—
The losses of the enemy are great ; ours are serious.
As usual, the Uhlans have played an important
part in the battle ; they are to be found in every spot
where daring is wanted. 'lt is no doubt a marvellous
Caaalry, composed of some :of the elite of the German
nation. I have seen them as eclaireure, I have seen them
everywhere in the country I have crossed, and I hear that
at this battle near Gravelotte a regiment of them
attacked the staff of Marshal Bazaine, killing twenty
men of the escort, and retiring after the death
of their commander. Seldom has such a brilliant coup de
main, attacking the staff of the commander in chief, been
witnessed, and it is well worth mentioning. Sunday was
a victory for the French, Tuesday a more important one;
it remains to be seen if it will alter the movements of the
French army ; but the departure of Napoleon for Chalons
during the contest would seem tq infer that the French
will continue their retreating tactics.

THURSDAY'S GREAT BATTI4E-REZON-
VITZE,
fg.ECIAL TELEGRAM TO THE " DAILY NEWS."'

SAABBRUCK, AUGUST 21, 6 P.M.
The great battle which was fought on the 18th, result-
ing in a victory for the Prussians, began at ten o'clock in
the morning, and did not end till nearly ten at night. Up
to twelve o'clock it was an artillery duel. The French lines
stretched along the hills covering the road from Metz to
Verdun. Their right flank rested on a farm-house known
as La Villette, with a walled garden, altogether a strong
position. A similar road led from Gravelotte. On the
left of this road the French had seized upon the crest of a
line of hills, on which they had thrown up twelve earth.
works. The guns of these defences, together with eight
mitrailleuses, swept down the slope, of the hills, and up
the valley from Gravelotte, commanding every approach,
Behind this line lay the forte of St. Quentin and Carieres,
completely protecting the French rear, and securing their
retreat. The Prussiabs had at first taken position on a line
of hills between Rezonville and Gravelotte, stretching
north-west and south-east, and extending on either side of
the road from Metz to Verdun. By twelve the fire from
their artillery had driven the French guns from their first
line, and the Prussians found themselves able to push
forward their guns, and establish their batteries
in advance of their first ppsi4ion, The new line
stretched a considerable •jistanoe on either side of
gray.eiottq." I reached the field at twelve, just as the
encounter was developing into a general engagement.
and from one of the hills above-mentioned had a good
view of the whole field. By two o'clock in the afternoon
the French batteries covering the Verdun road wag
silenced, and the Prussians had pushed forward till they
reached and occupied the farm-house at Malmaisen.
Twenty minutes later the Prussian guns, were
in front of Gravelotte the weight Qt. their
Metal and superior accuracy crushing the French fire,
and driying one battery after another froth Its
position, 4t.t twenty minutes past three the Prussian
cavalry, including Uhlans, Cuirassiers, and 4usears,
moved forward under a heavy fire from the Vrencii
batteries, which still maintained their ground. !fief.
attacked with energy, but unsupported at first bt
infantry, and only partially covered by their ovAi
guns, were obliged -to give way. Meanwhile the
:>;ussian infantry divisions had been coming
rapidly up, and at forty-five minutes past, four the
first serious effort to dislodge the French commenced-
The 33rd Regiment of the Line was directed against A
hill that seemed the key of the French position, 'hey
went forward with the utmost gallantry and determine.
tion, but were driven back with heavy loss. By this
time the Prussians bad massed heayY forces upon this
portion of the line, and the fortunes of the battle
seemed likely to turn' upon the, attack and defence
eo ohstinately Itcpt up at the centre. The
Prussian diViSiena were formed again and again, and led
texward, only to be repulsed and forced to withdraw
under a searching fire from the French guns, which cost
them great numbers of men. Nothing coY.Ald be
more brilliant than the rePosts4 efforts of the
Prm,sians; nething more. stezidv than the French

defence. The disparity of numbers existed hers
as at Woerth • but here the numbers were on
the side of the French, and for long hours it seemed more
than doubtful whether the natural strength of the French
position, and their numerical superiority together,
would not baffle the utmost efforts of the
_Prus-
sians. During all the afternoon, and far into
the evening, the Bth Prussian Corps was engaged
with what I believe to be nearly the full strength
of three French Corps. Reinforced as the Bth Corps was
by portions of the second and third, it did not exceed
fifty thousand men, while the number of Prussian guns
engaged was given to me as about ninety. I have bad no
time to collect details, nor was it possible to distinguish
from my point of view the different regiments,
brigades, and divisions that shared in the successive
attempts that were unavailingly directed against
the French position. Nor was the fortune of the day
to change at this point. Whether the Prussian generals
became convinced that the centre was too strong for them
I cannot say, but they made their final and successful
attack on the right flank of the enemy. The farmhouse

or hamlet of La Villette, though held in great force,
was carried about nine o'clock, and the French
position became immediately untenable. Their line was
enfiladed•by the Prussian fire ; some of their outworks
were even taken in reverse, and they were compelled to
abandon the ground they had so bravely held, and to
withdraw under cover of the fortress. Their last
hold on the Verdun road was abandoned, and the army
of the , Rhine found itself shut up in the strong-
hold which they had chosen as the base of their inva-
sion of Germany. I hear that a force will speedly occupy
the railway northward, cutting off Metz from Thionville
al ;o. King William was on the field throughout the battle,
General Steinmetz being in immediate command of the
Prussian troops engaged. Marshal Bazains commanded
on the French side. It is difficult to estimate the
Prussian losses, but the killed and wounded are
reckoned at not less than 10,000—a large proportion for
the number actually engaged ; but the losses at one time,
in the effort to roach the French centre, were tremendouf.
I can give no notion of what the French may have
suffered. The Prussians, notwithstanding the severity of
the day's work, are in great spirits over• their victory.
Ramours of peace already circulate in the camp,
and at any rate the hardest work of the campaign is be-
lieved to have been done. General Sheridan of the
American army was present, and witnessed the fight from
Count Bismarck's carriage. General Forsyth was also
here. One English officer was wounded, the horse of
another was shot under him. I will send detailed accounts
as early as possible.

It may be noticed that the French accounts, which
are exceedingly meagre and at second hand, by im-
plication directly confirm all that the Prussians assert
as to the extent of their triumph at Rezonville.
Let us see what the French have to say before
we pass on to the fuller and more authentic state-
iniits on the other side. On Saturday General
Montauban, Count de Palikao, French Minister of
War, assured the Corps Legislatif that so far from the
Prussians having gained great advantages on the 18th,
they had been driven into the quarries of Jaumont.
Considering that the Prussians were some 220,000
strong, and that the French, at the outside, could not
have fought on Thursday with more than 120,000,
or even 100,000 men, it does seem a little strange
that such a successful effort should have been made.
If, however, we are to believe this story—which
seems to refer really to a place called Giraumont on the
edge of the heights that overlook the Orne, a tributary of
the Moselle flowing north-eastward to its junction above
Thionville—we have to recognise at the same time that
Giraumont is on the newly opened railroad from Metz
to Verdun ; and thus it is apparent, even from
the War Minister's statement, that the Prussians
fought not only on the northern road to Verdun,
bat also on the railway, which runs a little to the
north of that road. In other words, the French
themselves tell us that the enemy was in force to the
north-west of Metz, across all the direct communications
with Verdun and the capital; and we may easily assume
that, even if, in the vicissitudes of the far-reaching fight,
a regiment or a brigade had been hurled in defeat into the
"quarries," there was scarcely accommodation there for
the entire Prussian army. But, setting aside the ridi-
culous attempt of Palikao to exalt a partial
reverse—if, indeed, it was even so much—into
a great overthrow ,of the enemy, what do
the other French stories say ? One account from Paris,
not styled official, informs us that Bazaine " is stated "
to occupy a position " enabling him to march upon Metz
or Verdun," and to have voluntarily arrested his march
on Verdun. The same authority, however, informs us,
with a charming naivete, that " Communication
between Metz and Chalons has become difficult,
eighteen hours being required for despatches "
to pass between MacMahon and Bazaine. But
the other day it took full twenty-four hours before
Bazaine could get a despatch from Vionville or there-
abouts to Verdun ; and now, although he fought on
Thursday, not one word from the Marshal himself has
come to tell how he threw ~the Prussians " into the
quarries " of Giraumont. Yet the Officica Journal pub-
lishes a despatch, dated at Chalons on Saturday night,
twenty-four hours after the cloats of Thursday's battle,
containing only a silly and pompous account of a visit
paid by the Emperor to the soldiers, who clamoured to be
le i against the enemy. Quitting in impatience the French
falsehoods and suppressions, we merely ask, where are the
despatches that took eighteen hours between Metz and,
Chalons ? If they have been received at Paris, they have
not been published ; and, if they have not been received,
how did they take eighteen hours to travel? The French
statements about this las great battle are plainly a hope.
less jumble of reckless ontradictions and wild obscurities.
—Telegraph.

On Saturday afternoon the General de Palikao assured
the Corps Legislatif a Paris that the Prussians had not
obtained a victory, but that the reverse was the case. He
announced the receipt of a despatch, which was
not, however, either read or published in its
entirety, to the effect that three Prussian corps
which had attacked Marshal Bazaine had been
repulsed and driven headlong into the quarries of
JaumoLt. Other unimportant successes the Minister
would not mention, But the quarries of Jaumont are
ten kilometres north of Gravelotte, in other words, are
six miles north of the road from Metz to Verdun; and
how came the French there in such force as to defeat
three Prussian corps, for we know, with tolerable
certainty, from Bazaine's own despatches, that the
French commenced a retreat from Metz to Verdun,
and that the Prussians attacked them from the south.
There is but one way of accounting for the French being
in force at Jaumont, and that is by their having
been driven six miles off the Verdun road in the
action of Tuesday. This, we have every reason to be.
lievo, was not the ease ; indeed, no such success was
ever claimed by the Prussians; and it is utterly un-
reasonable to suppose that three Prussian corps crossed
the Moselle below Metz, and endeavoured to force the
wooded heights of the forest of Jaumont, to the east of
the quarries of the same name. The Prussian plan has
been clearly indicated by us for many days past ; it con•
sisted in passing the Moselle above Metz, and hemming
in the army of Bazaine against the Ardennes
by swinging round their left, and preventing
the French retreat to the Meuse. Any attempt
to throw large bodies of troops across the river
below Metz would have been against the success of the
strategic plan, In no conceivable way can we reooncile
Count 4 Palikao's statement with the facts as we have
them from Prussian sources, or even with Basaine's des-,
patchs. In the same way we are bound to dismiss
as unworthy of trust the French accounts of Saturday
morning that Marshal Bazaine "is stated to occupy" a
position enabling him to march upon Metz or Verdupt
and to have voluntarily arrested his march upon Verdun:
The fiery next sentence of the despatch contradicts the
statement--" The communication between Metz and
Chalons has become difficult, 18 hours being required
for despatches between Marshals Bazaine and
MacMahon. If Marshal Bazaine had won Si victoz:t
and made good his retreat to Verdun, h@ would have
found no difficulty in communioating the news to Paris,
and none in sending his despatches to MacMahon. Thn
only hope, strategically Viewed, for either him or
MacMahon, lay in their j Anct..ll and that hive is
destroyed.—Standard. •

_ .
The ituppression by the French of information respect.%
lug a battle in which, by their enemy's admission, thek
army fought nobly, is to be regretted. The statement{
put forth in Paris that. Marshal Bazain,e was in a position(
where he was free to March on Verdun if he liked, but
that he had voluntarily abstained from doing so, is more;
damaging than the candid admission of difficulties, and,
made as it was in connection with the statement that the
communication between Chalons and Metz had be-
come difficult, sea down the price of the Rentes.
If even there could have been any doubt about
the position of Marshal Bazaine's army, it must
be considered to have been removed now, by the
confirmation of the intelligence three days after the
event, and the obstinate silence of the French. Whether
Bazaine's sixty thousand men shut themselves up in Metz,
or attempt to escape, they are equally in the toils of
Prince Frederick ("harles's army. The Prince appears to
have practised upon them the same device that Napoleon(
employed after the battle of Jena. Being asked by one
of his generals whether he would take measures to close
the gates of Magdeburg against the fugitives, he said,
"No leave them open, all the fugitives will then cthere,
and thus we shall catch til<na like fish i t DT:111

TITS WAR.

QUEEN VICTORIA AND THE
EM PR ESS EUG ENIE.

THE BATTLE OF REZONVILLE.

ENO !MOWS LOSSES ON BOTH SIDES.

THE RAILWAY CUT NORTH OF METZ.

COUNTER STATEMENT BY COUNT
PALIKAO.

THE QUEEN'S REPLY TO THE
EMPRESS.

The Times correspondent at Berlin, telegraphing
from Berlin n Saturday, says:—
" Queen Victoria, in reply to the Empress Eugenie's
letter about a week ,ago, regretted her inability to
mediate. The Queen observed that in Constitutional
England mediation must proceed from the Cabinet,
but the Cabinet did not think the time come.

"The British Cabinet at present seem to•favour
the formation of Alsace and Lorraine into a neutra-
lised State, which combination will probably not be
accepted by Germany.
"Italy having concluded conditions of alliance
with France, -Baron Arnim, the German Envoy at
Rome, has been to Caprera.
"The Germans are constructing a semi-circular rail-
way partly round Metz, to enable them to use the
Metz and Paris Railway even before the capture of
Metz. The railway and telegraph from the Royal
Head-quarters to Berlin are in perfect order. The
railway from Nancy to Commercy is in course of
reconstruc Lion.

"Count de Palikao's statement that Bismarck's
Cuirassier Regiment was annihilated on the 14th
is utterly unfounded. Bismarck's regiment was
not present, nor were any cavalry seriously en-
gaged. Count Bismarck's sons were both wounded.
Heavy siege guns have been sent to France. The baths
of Norderney and Bork um are reopened, the French
squadron being thought harinles?. A large number
of guns were taken in Thursday's fight at Rezon-
ville."

In a telegram dated yesterday the same corres-
pondent says the mitrailleuse cartridges taken in
the recent engagements prove that the balls are
explosive, contrary to the %).-t. Petersburg Conven-
tion. The expulsion of Germans frog France excites
strong indignation. Ihe papers demand a pecuniary
indemnity for the sufferers, and the punishment
of France. Clamours for the restoration of Alsace
and Lorraine are universal in the press, the semi-
official organs not excepted. The German losses
in killed and wounded, up to this point,
amount to about 40,000. The French army, in the
battles of the 14th, 10th, and 18th, had from 12,000
to 16,000 killed. At Gravelotte, on the 18th, 4,000
prisoners were taken; among them were 90 officers
and General Plumbin.

THURSDAY'S BATTLE.
The official Prussian accounts of Thursday's battle
are dated

PONT-A-MOUSSON, AUG. 19.

"A brilliant victory was gained yesterday near
Graveloge. The French were driven out of very
strong positions, situated one behind the other, and
were thrown back towards Metz. They are now
hemmed in in a narrow space round Metz, and
are completely cut off from their commu-
nications with Paris, the 12th Prussian Army
Corps having taken possession of the railway from
Metz to Thiovville.

"The losses of our troops are, unfortunately, com-
mensurate with the greatness of their heroic
achievements against the strong French positions
which they stormed."
ec PONT-A.MOUSSON, AUG. 21 (12.45 P.m.)

"French prisoners are still being continually
brought in here. Yesterday evening 2,000
arrived, including 30 officers, and to-day another
batch with 54 officers, amongst whom is General
Plombin. The loss suffered by the French in the
fighting of the last few days—namely, near Cour-
wiles, on the 14th; near Vionville, on the 16th; and
near Gravelotte, on the 18th—amount in dead alone
tin between 12,000 and 15,000 men. If to this num-
ber be added the prisoners, and those of the wounded
who are generally to be reckoned among the killed
in a battle, the total loss on the side of the French
cannot have been less than 50,000. We made about
4,000 prisoners at Gravelotte."
A telegram from Berlin of yesterday's (Monday's)
date says :—"No further official military reports
have arrived from the army, giving particulars of
the battle of the 18th inst., beyond the announce-
ment that the main army of the enemy entirely
withdrew into the fortifications of Metz during the
night of the 18th instant."