The New York herald., 1869-05-07
SOUTH AMERICA.
Affairs in Parnguay-Positiop OF Mr.. MciIa-
hou-isnproyemcnfs in the Argentine Re-
pu5ic--tcam PIoughs in the Wheat Fields
of the Pampas-Enersy of the Government.

w faTtiguay-EoSitOU OF VVr. IIc.fsa.
hou-iinproyemenfs in the Argentine Re-
pu5iic---tcam PIoughs In the Wheat Fields
oI the Panpas-Enersy Of the Government.
BUENos AYREs, Marcn 30 1859.
Since the sailing Of the French packet we have
later news IRON Paraguay. The expedition at latest
dates had not set out but was preparing to start
about this time. The soldiers OF Lopez had come
near enough to Asuncion to destroy bridge on the
railroad from Asuncion to Luque. force or men
had gone 10 repair il.
There is a legion composed Of Paraguayans which
for nearly four years has done good service for the
allies. They are now allowed to take their own ma
tonal colors. with the device OF their own banner
and "Peace and Justicei' on it,
The efforts TO form Psraguayan provisional gov
ernment do not succeed well. The Paraguayans are
between two forces. They do not ike the military
rules OF the allies and they cannot endure the daily
increasing misery Of subjecon; so that they cannot
wait under the yoke, for to wait Is TO perish. some
form of government will probably soon he made up.
Some Of the papers are hard on the foreign ini,u-
ence-meanng that OF the United states Minister
that has counseied Lopez TO stu further resistance
after the last decisive battles. Az they have often
threatened to snoot him It Is not likely that he would
follow any otner advice, and come In and be shot.
No word yet from Mr. Mcmahon who IL with Lopez.
Late rulnofa report the imprisonment OF General
Mcmahon by Lopez bnt they are not credited here.
a committee or three BRAZILIAN officers, three Ar
genuine two Oriental ana one Paraguayan has been
appointed TO examine all claims for goods, and a
similar committee will investigate all claims for real
| estate, In AsuncioD.
The hostile attitude or the province OF san Juan
towards the national government did not last long
and now another province stands on It's state
rights. The province Of santa ne conceded a large
/ quantity OF land TO railroad company. The ma.
( tiona government issued proclamation that said
lands pcrtaned To the national domain. The prov
| ince issues an order TO disregard that proca.
nation. What the end Will be no knows; but II IA
/ the ever-recurring play 0f state rights.
There Il now n fearful financial crisis at Monte.
vldeo. Failures are almost ol uaily occurrence.
'Changc Is almost deserted gold IL rising, there Is
! no business doing. aud general crash IL feared.
Argentine government bonds have not risen In price
! for fortnight.
The cholera has disappeared from both sides of the
river Plate and the quarantine has been taken OF.
For the first time IN ten years the simmer has been
cool disappointing all spectators In Ice. I'm Monte.
video they use ice from New England; In Buenos
/ Ayres they make IL by steam.
The rivers continue high without abatement, and
now the Paraguay river has risen three feet deluglnp
ts banks and sweeping away immense stores and
workshops, and even hospitals The Parana river,
the great feeder OF the Rio de La Plata, mas now
oyerfowed its banks continuously for over two
years, and It IL again rising. No natural exter
nal cause is known
The great Argentine Central Railroad from Ro-
sario 10 CadOba Is completed to within one days
dugence ride of the latter city. twenty-five leagues.