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ained that the enemy was withdrawing his forces from Bermuda Hundred Neor, our artillery opened upon his position Monday afternoon, and was responded to briskly by the gunboats in the James. The shelling was kept up vigorously for about an hour. It is Butler's purpose to reinforce Grant by sending troops to Fortress Monroe, and thence up the York river to the White House; but it is doubtful whether the position on the Southside will be abandoned. From the Valley. Information has been received that Sigel is again moving up the Valley of Virginia, and at last accounts had reached the vicinity of New Market, the scene of his late defeat by Breckinridge. Our pickets were falling back before his advance. Some apprehension was felt at Staunton, but it amounted to nothing like a panic. Doubtless the Dutch General is anxious to retrieve the reputation he lost by his late disaster, and will probably adopt the method of plundering the inhabitants in the Valley in order to do so.
The Yankee letters. We glean some points of interest from the private letters found upon R B Francis, the correspondent of the New York World, who was captured on Sunday at Tunstall's Station. These letters are dated the 23rd of May, and the writers all agree that Grant's base of supplies is to be the White House. One, writing from Hanover Town, says--"I do not anticipate any fighting for a day or two, although we may at any time find the enemy in our front. Breckinridge, with a division of 12,000 men, is at Hanover C. H." Another--" We are now only eighteen miles from Richmond, and I have no doubt but this time we shall go into Richmond. Our losses have been terrible. We have received a great many new men." Another grows boastful, and indulges in the favorite Yankee along about a speedy "crushing of the rebellion," which has been constantly harped upon by Northern newspapers and correspondents from the very beginning of the war. Yet Richmond still stands, and his defiance to