The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1867-03-06
OUR VALPARAISO CORRESPONDENTS.


Truce With Spnin--Secretary seward Med
ding 10 the Anair-The Allied Squadron
Financial Difficult ies-Mi nistcriai Changes
Naval, SC. f
vALpARnso Feb ., 1867.
The hostile relations between the allied republics and
Spain unchanged Nothing has transpired since
my Inst letter. except editorials the subject OF
armisiice and mediation. The South American States
be Gar from adjusting their difficulty with
Span as they six months ago There is no doubt
that being urged upon the allies by the French
and English representatives who failing in their offers
OF mediation, suggest armistice the best
method for bringing about amcable negotiations between
the bellgercnts 1t highly improbable that any
with Spain will be entered by the South Americans
The temper Of the people is decidedly any
ement other than by force Of arms; and doubt if any
government would long survive, i'll Peru Chile the
abandonment Of the war at the present time. The
whole population is eager for renewal of the
believing that the allied squadron and deences OF VAL
paraso and calao sufficient chastse Spain
Iy should she be melted send another feet the Pa
chc
The report that government Of Chile has accepted
the proposed by the English and French Ministers
at Santiago has attained considerable credence through
out the republic and the press furious the subject
You will doubt receive from the
west coast intelligence to the effect that the proposed
afstce Das oeen accepted out nave the pest antnor
ty denying all such The proposition stu
under consideration by the Cabinet Santiago and will
later be rejected There is not the slightest
probability of any being into o is proposed
by the ENGLISH and French Their proposition simply
provides Tor mutual cessation Of hosiies for in
definite period with the view OF afordng opportunity
for negotiation. The allies will have negotiations
with Spain without surety Of accomplishing
thing by them and all the excitement the subject
will eventually die out just the agitation respecting
French and English mediation did two months ago
It 10 well understood that propositions have been
oeived by the Chilean government from Mr. Seward
having for their object arrangement of the existing
dfbcuaics From all that be CLEANED from the ex-
prcssons OF the newspapers here the subject
that government has invited the begerents
Washington for the purpose Of having
a conference the varions questions At ISSUE Mr..
Seward appears hare suggested that the President Of
the United States snail appoint neutral power 10
be umpire upon al differences which may arise in the
conferences respecting points 81 International courtesy
and aw, and this clause has rendered the people Of e
somewhat apprehcnsve Of their claims being oyerrnled
should such conference he held They fail to perceive
that such umpire would only have authority In rgr-
IT. Without in any manner aaectins the terms which
might lie agreed upon by the member OF
The conference, as form OF treaty to be
ratified bv the respective governments engaged in
the spanish American The reticence OF The Chile
government the subject since their first hints Of such
. proposition from the United States called forth
friendly criticism by the press has prevented the public
from fully understanding the precise nature OF Mr..
sss pan 70
ment and In the meantime we may gather all the factt
relating TO the proposition made by Mr. Seward The
friendly relations existing between the allies and the
Quilted States and the popularity Of our Minister II
santiago General Kilpatrck encourages the hope tha,
she offer OF United States influence in bringing about
Termination Of the will be finally accepted There
10 possibility Of France or England accomplishing
SPAN and be south American States The natural an
tgsnsm between those ~ Governments and republican
institutions would alone he sufcicnt y prevent me
facL Of English aDd French sympathy with spain Eu-
ropesn mediation and uces VII never be adopted op this
= means OF settling the war; and We now only
look TO the sacc IS Of American interference pre-
went ng renewal Of ostl,ties Probably by the time
the next steamer maj closes chile will have arrived
near a decision respecting the acceptance OF the good
Offices of the United States All the foreign Influence in
the allied republics viii favor the adoption OF the pan
proposed by Mr.. Seward The commerce OF this coe st
Is almost wholly in the hands OF foreigners, and thew
have learned by sad experience the hopelessness OF
waiting relief from the endorsements which now
sncuber trade the hands OF these republics unaed
nv some friendly government Hike the United States
nensra power for the calm consideration Of the ncs
lions bet~ecn Them, can perceive no other aterna
tive then, long and wear1some continuance OF
the armed inactivity which has characterized tna war
aimee last NAV. st "a NNNs
The allied squadron lett the bay OF Valparaiso the
3lst nit for the stand Of Juan Fernandez and the
Chilean corvette EmeraIda for Coquimbo, port in
Chile about hundred miles north OF Valparaiso. The
object OF this trip by the squadron Is understood TO he
the promotion Of discipline aud the improvement OF the
new naval experience. have referred in pre-
viOus letters the lack Of hearty sympathy between
Chile ard Perm The following paragraph from the
Nsrexrso or Valparaiso the Leading paper Of Chile "
somewhat significant in Wow OF the well known luke
warmpess Of the Two republics
ts with some degree plisby that II is already
settled .sss 'hs he rsrvsn sqa.rsr y sons %
the racu % Peru WI he when the war shall have teIn
ssosao,s 70 spain, who Ia. much to hope from The
tine sasrrss Of tse countries winch at the COMMENCEMENT
Within last fortnight the government has author
lied the OF two millions Of dollars N treasury
bonds and II is reported that this sum will soon be
augmented 10 i've millions These bcnds will bear
torest the of ten and cishenibs per cent, and
are redesmaese at SIX months az the expiration o.
gold silver present the bills legal tender
sf the State Offices The Msrc't'o says on This sub
-The patsns he government snect TO beiev. that
these eonss VIII remain n. a pa. % under prs'sns s
fortune Bu, truth, the general IMPRESSION nsr
me 0 any ds @
we o ssry a s loan o Ike NJ
less person than The Minister Of fn.ncs there i pc
:a;ss Ts ss s' SS'H IS Sass s en-
s and snas the he
70 these desperate espedirnis % az from raising
tho. credit over ard cclnpromise = more ana aor:
how bonds Oh this urSt issue win fare IN
rsn already divine the which the tte
viii undoubtedly he made ninth The eacl - the
al millions, he estimated proceeds af ihe iorued osu
Incomes which the gor.rnnont pfopvses to discount
A. then greatly BE- feared that there VIII prove IN
the ne loan, witch ALREADY urciertly
ful and prot atal Tremendous dcfalcasnn which viii
..utct .nysriiten ~ EMPLOY violent
against property. aud mposc upon the nation rcri
bees 81 ID more cruel than hose new ~ prospect
There arc reports in circulation OF ! chauce In the
Ministry, BUT the rafnors lack c.rirmavn Don Mel
ehor oncha Toro Is spoken OK NJ being likely 10 take
the portfolio % Finance In be pa % Ssnor ne
present incumbent ijof Msulei anilo AZ Who was
n romber or the Cabinet on previous occasion, = aso
mentioned connection with tlir post
rhe first decisive step has been aken towards osc ny
ng the banks of the river Toltsn IN The sonhern district
~ Chile now inhabited bv Indians I'm inc spot selected
the site the fgtnrc ~ conference WIS held, az
whicn present Sc hundred ~ the most influential
Indians c that region In the course OF the negotiations
Colonel Ssved Gerin-c.e OF the forces, MADE
known the vacqucs the wishes and purposes oil The
Chile government and requested item TO sell tc guam
uiy OF land necessary for the euldts OF ~" procctcd
ry end that Of barracks and works 81 defence AMER
some mutual explanations the UNncrs OF the laeu nc
roted IN the reuuest ana the con-