Delaware State journal and statesman., 1866-05-25
FOREIGN NEWS.

The steamship CuDht from SueenbtOWh
ON the 18th Of May, has arrived. Her news
IL of highly important character.
The financial fever which agitated the
London Stock Exchange in such an un-
healthy manner for n few weeks before, had
eliminated in most disastrous, unprece-
dented money panic, which produced, in
twenty four hours, failures and suspensions
involving over eighteen millions of pounds
sterling, an almost total suspension OF busi-
ness in the great centres OF commerce, a
"boundless distrust " in the public mind,
the suspension of the Bank OF England
Charter act, and an advance of the rate of
interest TO ten per cent The Houses of
Oyerend, GurAey g. Company, Sir Morton
Prto Md others, were closed, and contrac-
lore and speculators went "by the board "
on all sides, from the 9th to the 18th of May.
Scenes of excitement almost tumultuous
took place in Lombard Street. At the latest
moment new failures were spoken OF In
Liverpool and the name OF house well
known in the American trade" was freely"
mentioned.
The Bank of England raised its rate of
discount to nine per cent on the llth OF
MAY. and on the 18th inst. advanced ii TO
len per cent. United States five-twenties
ON the 18th inst. were at 64(G60
The German qnestion was regarded as on
the very point of war, although hopes of
Congress were still entertained in some quar-
tors Prussia had ma. ed her entire army
1.-THE frontier, Austria had called out every
soldier" Italy was most energetic in her
war preparations Bavaria had mObilized her
army, Turkey was about TO take the same
step and Russia is reported as moving
portion of her forces. Napoleon delivered
most significant speech at Auxerre, in
which he said he "detested the treaty Of
1875 The words were regarded as "sig-
maj for war. An attempt had been made
10 assassinate Count Bismark in Berlin.
The United States Minister in Vienna had
protested against the march of Austrian vol
nnteers for Mexico Some of tho newly
raised companies were disbanded in conses
quence Others had entered the Austrian
army
THE SPANISH FLEET At CALLAo.
BY the arrival on Monday morning of the
steamer Arizona, from Aspinwall on the 18th
inst, important intelligence has been receiv-
I'd from the seat of war in the South Pacific.
The Spanish fleet under Admiral Nunez, on
It's way to lombard the city of Calao, Peru,
was badly beaten by the shore batteries in
the harbor, the vessels shattered and Nunez
himself wounded.
The fleet, reinforced by the frigate AL
manza raised the blockade at Valparaiso on
the l4th of April, and steamed for Callao.
The American squadron, under Commodore
Rodgers, followed the next day, for the pur-
pose OF protecting neutral property in case
il should he the intention of the Spanish
Admiral to lombard that port. On the 25th
of April the fleet found itself lying off the
harhor of Calao.
The first intelligence Of this movement
received by the Peruvians at Callao was by
the English mail steamer on the same day
Tint the dreaded visitors arrived. The great
rat alarm ensued, but II subsidized as it be-
came certain that the Spaniards did not
mediate nm attack that day. On the next
day however, formal notice was given the
city that the Spanish fleet was then TO operate
against il, and that four days were allowed
for the removal of non .combatants and for
elgncrs. The greatest activity was then
manifested for the removal OF the private
property of citizens.
But the defences of Callao were quite for
midnble, and an attempt was determined
upon to beat off the Spaniards. The Peru
yians evidently dreaded the heavy weight of
metal that the Spanish fleet could throw at
'lem, and looked forward to the issue as
doubtful. But they went manfully to work,
throwing up earthworks and preparing for
the combat. A system Of telegraphing was
extended TO all the batteries, and torpedo
boats were held in readiness for use IL avail
able.
The first of May being foggy, the attack
WIS postponed, and on the second the grand
Test of strength commenced from the shore
batteries, the fire being returned by the Be-
Icngueia, Villa de Madrid and Blanca, on
the northern side, and the Numancia, Reso-
ueion and Almanac on the south. The Villa
dc Madrid and Berengueia were so badly
damaged early in the fight that they were
obliged TO Withdraw TO San Lorenzo, and
they were after wards followed by the Nu-
mancia and the rest of the fleet, more or less
damaged.
The fight lasted till four O'Clock in the
afternoon; then it terminated by the with
drawal of the Spanish fleet,
Sixty Peruvians are reported killed and
one hundred and twenty wounded. Senior
tialvez, the Secretary of War, was killed.
The loss of the Spaniards is not known, but
it is supposed to have been heavy. 1t is
rumored that Admiral Nunez is severely
wounded
After going out the fleet resumed their old
position, and commenced repairing, The
future movements of the defeated fleet are
not known, but il is presumed, in view of
the near approach of the Huescar and Inde-
pendencia, added to this formidable disaster.
ilat its early return to Spain will be effected
II possible.
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