been already much weakened by detachments sent from it to reenforce Johnston, with a view to a raising of the siege of Vicksburgh. I must not overlook the operations of cavalry. General Stoneman, in connection with the movement upon Chancellorsville, made a rapid and effective passage through the insurgent country, from the Rappahannock to the York River, which will be remembered among the striking achievements of the war. While our forces were operating against Vicksburgh and Port Hudson, Colonel Grierson, with a force of one thousand five hundred men, left Corinth, on the northern border of the State of Mississippi, and made an expedition, in which he broke military communications, destroyed stores, and effected captures through the length and breadth of the State, and, finally, without serious loss, joined the army of General Banks, then engaged in the siege of Port Hudson. John Morgan, hitherto the most successful of the insurgent partisans, recently passed around the lines of General Burnside, crossed the States of Tennessee and Kentucky, moving northward, and avoiding all large bodies of our troops, he reached the Ohio River at Brandenburgh, below Louisville, and seized two steamboats, with which he crossed into Indiana. Thence proceeding rapidly westward, subsisting on the country and impressing horses as his own gave out, he traversed a portion of Indiana and nearly the whole breadth of Ohio, destroying railroad stations and bridges, and plundering the defenceless villages. The people rallied to arms under the calls of their Governors. Some of them occupied the most important points, while others barricaded the roads or hung upon the rear of the intruders. Morgan found no disaffected citizens to recruit his wasted ranks, and when he reached the Ohio his force was prevented from crossing by the gunboats and driven backward with great slaughter. His force was between two thousand five hundred and four thousand horse, with several pieces of artillery. Only some three hundred succeeded in recrossing the Ohio and escaping into the wilds of Western Virginia. Many perished in battles and skirmishes, and the remainder, including Morgan himself, his principal officers, and all his artillery, were finally captured by the national forces. An attempt has just been made by the insurgents to invade Eastern Kentucky, which probably was begun with a view to make a diversion in favor of Morgan's escape, but the forces, after penetrating as far as Lexington, have been routed by detachments from General Burnside's army, and pursued, with the capture of many prisoners and of all their artillery. This review of the campaign shows that no great progress has been made by our arms in the East. The opposing forces there have been too equally matched to allow great advantages to accrue to either party, while the necessity of covering the national capital in all contingencies has constantly restrained our generals and forbidden such bold and dangerous movements as usually conduct to brilliant military success. In the West, however, the results have been more gratifying. Fifty thousand square miles have been reclaimed from the possession of the insurgents. On referring to the annexed map it will be seen that since the breaking out of the insurrection, the Government has extended its former sway over and through a region of two hundred thousand square miles, an area as large as Austria or France, or the Peninsula of Spain and Portugal. The insurgents lost in the various field and siege operations of the month of July which I have described, one third of their whole forces. Jefferson Davis, the leader of the sedition, has since proclaimed a levy of all the able-bodied men within his military lines. This, if carried into effect, will exhaust the whole material of which soldiers can be made. The insurgents estimate the total number of conscripts thus to be gained at from seventy thousand to ninety-five thousand. Our armies now confront the insurgents at all points with superior numbers. A draft for three hundred thousand more is in progress to replace those whose terms of service have expired, and to fill up the wasted ranks of our veteran regiments, and the people, just so fast as the evidence of the necessity for that measure is received and digested, submit with cheerfulness to the ascertained demands. Our armies everywhere are well equipped, abundantly fed, and supplied with all the means of transportation. The soldiers of two years service bear themselves as veterans, and show greater steadiness in every conflict. The men, accustomed to the camp, and hardened by exercise and experience, make marches which would have been impossible in the beginning of the contest. The nation is becoming familiar with arms, and easily takes on the habits of war. Large voluntary enlistments continually augment our military force. All supplies are abundantly and cheaply purchased within our lines. The country shows no signs of exhaustion of money, material, or men. A requisition for six thousand two hundred remount horses was filled and the animals despatched from Washington all in four days. Our loan is purchased at par by our own citizens, at the average rate of one million two hundred thousand dollars daily. Gold sells in our market at one hundred twenty-three to one hundred eighteen, while in the insurrectionary region it commands one thousand two hundred per cent premium. Every insurgent port is either blockaded, besieged, or occupied by the national forces. The field of the projected Confederacy is divided by the Mississippi. All the fortifications on its banks are in our hands, and its flood is patrolled by the national fleet. Missouri, Kentucky, Delaware, Maryland--all slave States--support the Federal Government. Missouri has already in convention ordained the gradual abolition of slavery, to take effect at the expiration of seven years. Four fifths of Tennessee, two thirds of Virginia, the coasts and sounds of North-Carolina, half of Mississippi and half of Louisiana, with all their large cities,
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