he No. 2438. lESIDENT'S MESSAGE. i Citizens of the Senate and House oj Representatives: obedience to the command of the con- OD, it has now become my duty "to give ngress information of the state of the and recommend to their consideration insures" as I judge to bo " necessary nedient." first, and above all, our thanks are due Almighty God for the numerous bene iich H 8 has bestowed upon this people, u r united prayers ought to ascend to hat He would continue to bless our great ic in time to come as lie has blessed it p past. Since the adjournment of the ongress our constituents have enjoyed isual degree of health. The earth has i her fruits abundantly, and has boun rewarded the toil of the husbandman. | •eat staples have commanded high pri- ! ,<], up to within a brief period, our man- ; ring, mineral, and mechanical occupa- i have largely partaken of the general < ritv. We have possessed all the ele of material wealth, in rich abundance, t, notwithstanding all these advantages, mntry, in its monetary interests, is at tsent moment in adeplorablecondition, he midst of unsurpassed plenty in all options of agriculture and in all the its of national wealth, we fiud our man res suspended, our public works retard r private enterprises of different kinds nied, and thousands of useful laborers i out of employment and reduced to The revenue of the government, is chiefly derived from duties on ina rora abroad, has been greatly reduced, the appropriations made by Congress list session for the current fiscal year ry large in amount. er these circumstances a loan may be ;ti before the close of your present ses but this, although to be deeply regret ould prove to be only a slight tnisfor rtien compared with the suffering and s prevailing among the people. With le government cannot fail deeply to thise, though it may be without the to extend relief. our duty to inquire what has produced infortunate results, and whether their encs can be prevented ? In all former tk-ns the blame might have been fairly i:ed to a variety <>f co-operating causes; it so upon the present occasion. It is ;nt that our existing misfortunes have del sule'y front our extravagant and s system of paper currency and bank i, exciting the people to wild specula Mid gsml-ling in stocks. These revn!- nust continue t recur at successive in i 'limg as the amount of the paper icy and bank loans and discounts of the y shall be left to the discretion of fuur lundred irresponsible banking institu vhieh from the very law of their nature inu!t the interest of their stockholders than the public welfare. fr;itner< of the constitution, when they to C ngress the power "to coin money t regulate the value thereof," aud pro 1 the States from coining money, emit iIU of credit, or making anything but tod silver coin a tender in payment of supposed thry had protected the people i Uiet-viisuf au excessive and irredeem ifx-r currency. They are not responsi r the existing anomaly that a govern Miiiuffed with the sovereign attribute of g money and regulating the value there "ti-i have no power to pi event others hiving this coin out of the country and up the channels of circulation with which does uot represent gold and sil- i wie of the highest and most responsi tiea uf the government to insure to the a Found circulating medium. the ain iif which ought to be adapted with the t pis-oble wisdom and skill to the wants trial trade and foreign exchanges. If e other greatly above or greatly below •per standard, the marketable value of man's property is increased or dimin in the same proportion, and injustice to dual* as well as incalculable evils to the unity are the consequences, urtunately, under the construction of dtril constitution, which has now pre too long to be changed, this important ehcate duty has been dissevered from toning power and virtually transferred tc than fourteen hundred State hanks, independently of each other, and reg ? their paper issues almost exclusively rcj&rd to the present interest of their 'oldcrs. Exercising the sovereign pow providing a paper currency, instead of br the country, the first duty which tanks owe to the public is to keep in 'aulta a sufficient amount of gold and to insure the convertibility of their notes coin at all times and under all circum- M ' *^ B hank ought ever to he chartcr ''oout such restrictions on its business * Cure result. All other restrictions Hopiratively vain. I '® only true touchstone, the only ® regulator of a paper currency—the Jn e which can guard the public against , ue ' an( l bank suspensions. As a col -1 eventual security it is doubtless in all cases ought to be required, nw shall hold an amount of United • tat< equal to their notes wion and pledged for their redemp . ls . however, furnishes no adequate t "*** *** UCB - On the contra- I ?be perverted to inflate the curren ts ,n L rt . ' s P o,B ible by this means to i Gre debts of the United States and , c v : ' m ''Otß into bank notes, without ■' the gpecie required to redeem HeUel va | ua ble these securities may be in lß j e y cannot be converted into tiw V ' ;r at moment of pressure, as f it teac^e . fl in sufficient time to of tari 9UB P en,, in9 and the deprecia '"iderai | D °^ S ' * n England, which is to gh a paper money country, •s d(-r> n j J". our OWH ' n this respect, kfliarr .1 a d*isable, anterior to the act 1844, which wisely separa- U8 'if notes from the banking de- mmnnßiß Asm sir ®a@3E®a imwwias narwißMNmsJs Mznaaansy ©®wss®^ 8 ! partment, for the Bank of England always ; to keep on hand gold and silver equal to one ' third of its combined circulation and depos -0 its. If this proportion was do more than suffi ! cient to secure the controvertibility of its ! notes, with the whole of Great Britian, and to i some extent the continent of Europe as a field ■ for its circulation, rendering it almost impos sible that a sudden and immediate run to a dangerous amount should be made upon it, the same proportion would certainly bo in sufficient undeiyiur banking system. Each of our banks has but a lim ited circumference for its circulation, and in the course of a few dayß the depositors and noteholders might demand from such a bank a sufficient amount in specie to compel it to suspend, oven although it had coin in its vaults equal to one-third of its immediate li abilities. And yet I am not aware, with the exception 1 of the banks of Louisiana, that any State j bank throughout the Union has been required j by its charter to keep this or any other pro j portion of gold and silver compared with the i amount of its combined circulation and de- j i posits. What has been the consequence ? In a recent report made by the Treasury De partment on the condition of the banks throughout the different States, according to j returns dated nearest tu January, 1857, the a S£ re g ate amount of actual specie in their vaults is 558,349,838, of their circulation $214,778,822, and of their deposits $230,351,- 352. Thus it appears that these banks in the j aggregate have considerably less than one j dollar in seven of gold and silver compared with their circulation and deposites. It was palpable, therefore, (h it the very first pressure must drive them to suspension and deprive the people of a convertible cur rency with all its disastrous conquenccs. It is truly wonderful that they should have so long continued to preserve th-ir credit, wheu a demand for the payment of one-seventh of their immediate liabilities would have driven them into insolvency. An i this is the con dition of the banks, notwithstan ling that j our hundred millions of gold from Califor nia h ve flowed in upon us within the last | eight years, and the tide still continues to 1 flow. Indeed, such has been the extrava gance of bank credits that the banks now I hold a considerably less a nount of specie, j either in proportion to their capitol or to j their circulation and deposites combined, ' than they did before the discovery of gold in California. Whilst in the year 1848 their specie in J proportion to th-ir capital was more than ' equal to one dollar for four and a half, in 1857 it does not amount to one dollar for i every six dollars and thirty-three cent? of i their eapitil. In the year I*4B the specie j was equ ii within a very small fraction to one dollar in live of their circulation and j deposites; in 1857 it is not equal to one : dollar in seven and a half of their circula. . tion and deposites. From this statement it i* easy to account for our financial history for the last forty years. It has been a history of extravagant expansions in the business of the country, j followed by ruinous contractions. At j successive intervals the best and the most j enterprising men have heen tempted to their rain by excessive bank loans of mere piper credit exciting them to extravagant unpo-ta tions oi foreign GO.I JS, wild spe illations, and ruinous and demoralizing ■'tec* gambling.— When the crisis arrives, as arrive it must, the banks can extend no relief to the people, j In a vain struggle to redeem their liabilities in specie they are compelled t'j contract their j loans and their issues; and at last, in the hour of distress, when their assistance is inost needed, they and their debtors togeth- : er sink into insolvency. It is this paper sy.-tem of extravagant ex- j pansinn, raising the nominal price of every article far beyond its real value, when coin pared with the cost of similar articles in countries whose circulation is wisely regula ted which has prevented us from competing in our own markets with foreign manufactu rers, has produced extravagant importations, and lias counteracted the effect of the large incidental protection afforded to our domes tic manufactures by the present revenue tariff. But for this the branches of our mauufLCtures composed of raw materials, the productions of our own country —such as cotton, iron, and woolen fabrics—would not only have acquired almost exclusive posses sion of the home market, but would have created for themselves a foreign market throughout the world. Deplorable, however, as may be our pres ent financial condition, we may yet indulge in bright hopes for the future. No other na tion has ever existed, which could have en dured such violent expansions and contrac. tions of paper credits without lasting injury; yet the buoyancy of youth, the energies of our population, the spirit which never quails before difficulties, will enable us soon to leeover from our present financial embar, rassmcnt, and raay'even occasion us speedily to forget the which they have taught. In tbe meantime it is the duty of theGoV' ernment, by all proper means within its power, to aid in alleviating the sufferings of the people occasioned by the suspension of the banks, and to provide against a recur rence of tbe same calamity. Unfortunately, in either aspect of the case, it can do but little. Thanks to the independent treasury thfe Government lias not suspended payment, as it was compelled to do by the failure of tbe banks in 1837. It will continue to disi charge its liabillities to the people in gold and silver Its disbursements in coin will pass into circulation, and materially assist in re. storing a sound currency. From its high , credit, should we be compelled to make a temporary loan, it can be effected on advan tageous terms. This however, shall if pos sible, be avoided ; but, if not, then the amount shall be limited to the lowest practi cable sum. . ... I have therefore, determined that whilst no us ful government works, not already in progress shall be suspended, new works, not already commenced, will fx postponed if this can be done without injury to tbe country. Those neceesary for its defence shall proceed as though there had been no crisis in the monetary affaire. THURSDAY, DECEMBER 17, 1857. But the Federal Government cannot do i much to provide against a recurrence of ex* i isting evils. Even if insurmountable consti tutional objections did not exist against the creation of a National Bank, this would furnish uo adequate preventative security.— The history of the last Bank of the United : States abundantly proves the truth of this assertion. Such a bank could not, if it i would, regulate the issues and credits of | fourteen hundred State banks in such a man* i ner as to prevent tiro ruinous expansions and i contractions in our currency which afflicted j the country throughout the existence of the i late bank, or secure us against future sus pensions. In 1825, an effort was made by the Bank of England to curtail the issues of the country banks un ler the most favorable circumstances. The paper currency had been oxpeudod to a ruinous extent, and the Bank put forth all its power to contract it in order to reduce prices and restore the equilibrium of the foreign exchanges. It accordingly commenced a system of curtail ment of its loans and issue-, in the vain hope that the joint stock and private banks of the kingdom would be compelled to tul• low its example. It found, however, that as it contracted they expanded, and the end of the process, to employ the language of a very high official authority, "whatever re duction of the paper circulation was effected by the Bank of England (in 1825) was more than made up by the issues of the country banks.'' But the Bank of the United States would 1 not, if it could, restrain the issues and loans j of the State banks, because its duty as a > regulator of the currency must often he in j direct conflict with the immediate interest ' of its stockholders. If we expect ono agent to restrain or control another their interests must, at least, in some degree, be antagonis tic. But the directors of a Bank of the Lnited States would feel the same interest and the same inclination with the directors of the State hanks to expand the currency, to accommodate their favorites and friends with loans, and to declare large dividends.— Such has oeen our experience in regard to the last bank. . After all, we must mainly rely upon the ' patriotism and wisdom of the States for the prevention and redress of the evil. If they will afford us a real specie basis for our pai per circulation by increasing the denomina tion of bank notes, first to twenty, and after wards to fifty dollars ; if they will require i that the banks shall at all times keep on hand one dollar of gold and silver f--r every three dollars of their circulation and depos its ; and if they will provide by a selbexecu' ting enactment, which nothing can arrest, that the moment they suspend they shall gc into liquidation, 1 believe that such provisions : with a weekly publication by each bank of a statement ot its condition, would go far to ; secure us against future suspensions of j specie i ayments. Congress, in my opinion, possess the power to pass a uniform bankrupt law applicable to all banking institutionsthroogh. ' out the United States, and I strongly recom mend its exercise. This would make it the irreversible organic law of each j back's existence, that a suspension of specie payments shall pr.xluce its civil death. The instinct of self preser ation would then com ( pel it to perform its duties in su-h a manner a to escape the penalty and preserve us life. The existence of banks and the circulation j of bank paper are so iudentitied with the ; habits of our people, that they cannot at this -hiy be suddenly abolished without uiueti immediate injury to the country. If we could confine them to their appropriate sphere, and prevent tiieni from administer, ing to the spirit of wild and reckless specula, tion by extravagant loans and issues, they might be continued with advantage to the public. But this I say, after long and much reflec tion ; if experience shall prove it to be im possible to enjoy the facilities which well regulated banks might afford, without at the same time suffering the calamities which the excesses of the banks have hitherto inflicted upon the country, it would then be far the lesser evil to deprive them altogether of the power to issue a paper currency and confine them to the functions of banks of deposit or discount. Our relations with foreign governments are upon the whole, in a satisfactory condi. tion. The diplomatic difficulties which existed betwieen the Government of the United States and that of Great Britain at the ad journment of the last Congress have been happily terminated by the appointment of a British minister to this country, who has been cordially received. Whilst it is greatly to the interest, as I am convinced it is the sincere desire of the gov ernments and people of the two countries to be on terms of intimate friendship with each other, it has been our misfortune almost al ways to have had some irritating, if not dangerous, outsiding question with Great Britain. Since the origin of the government, we have been employed in negotiating treaties with that power, and nfterwards in discuss ing their true intent and meaning. In this respect, the convention of of April 19, 1850, commonly called the Clayton and Bulwer treaty, has been tbe most unfortunate of all; because the two governments place directly opposite and contradictory constructions up on its first and most important article.— Whilst, in the United States, we believed that this treaty would place both powers upon an exact equality by the stipulation thatueither will ever "occupy, or fortify, or colonize, or assume or exercise any dominion" over any part of Central America, it is contended by the British government that the true con i struction of this language has left thcin in the rightful possession of all that portion of ! Central America which was in their occu { pancy at the date of the treaty ; in fact, that | the treaty is a virtual recognition on the part of the United States of the right of ! Great Britain, either as owner or protector, ! to the whole extonsive coast of Central Amer | ica, sweeping round from the Rio Hondo to j the port and harbor of San Juan de Nicara j gua ; together with the adjacent Bay Islauds, ' except the comparatively small portion of this between the Sara toon and Cape Hondu ras. According to their construction, the treaty does no more than simply prohibit them ftom extending their possessions in Centra! America beyond their present limits. It is not too much to assert, that if in the i L uited States the treaty had been considered j susceptible of such a construction, it never ! Would have been negotiated uuder the au i thority of the President, nor would it have received the approbation of the Senate. The universal conviction in the United States I was, that when our government consented to violate its traditional and time-honored poli cj*, and to stipulate with a foreign govern- i ment never to occupy or acquire territory in j the Central American portion of our own j Continent, the consideration for this sacrifice * was that Great Britain should in this respect ! at least be placed in the same position with ourselves. Whilst we bare no right to doubt t'u? sincerity of the British government in their construction of the treaty, it is at the same time my deliberate conviction that this I construction is in opposition both to its let ter and its spirit. Under the* late administration, negotia tions were instituted between the two gov- ! eromenta for the purpose, if possible, ol re moving these difficulties : and a treaty having this laudable obj ct in view was signed at London on the I7th Octobi r, 1856, and was submitted by the President to the Senate on j the following 10th of December. Whether this treaty, either in its original or amended form, would have accomplishci t -e object in tended without giving birth to new and em- I barrassing complications between tbe tws I governments, may perhaps be well question- s ed. Certain it is, however, it was rendered j much less objectiunal by the different ! amendments made to it by the Senate. The treaty as amended, was ratitied by me on the j 12th March, 1857, and was transmitted to London for ratification by tbe British govern ment. Tnat government expressed its wil lingness to concur in all the amendments made by the Senate with the single exception ' of the clause relating to Ruatan and the j other islands in the Bay of Honduras. The ■ article in the original treaty, as submitted to ; tbe Senate, after reciting that these Islands j and their inhabitants " having been by a I convention bearing date the 27th day of August, 16-56, between her Brit mnic Majesty and the Republic of ilnduras," stipulated that '* the two contracting parties do tioreby mutually engage to recognize arid rc-pect, in all future time, the indepnedence and I rights of the said free territory, as a part of the Republic of Honduras." Upon an examination of this convention between Croat Britain and Honduras of the 27th August, 1856, it was found that, whilst declaring the Bay Islands to be " a free ter- I ritory uuder the sovereignty of the republic of llonJuras," it deprived that republic of rights without whica its sovereignty over j them could scarcely be said to exist, it di vided them from the remainder of Hondu ras, and gave to their inhabitants a separate government of their own, with legislative, j executive, and judicial officers, elected by themselves. It deprived the government of Honduras uf the taxing power in every torm aud exempted the people of the islands from the performance of military duty except for their owu exclusive defence. It also prohib ited that that republic from erecting fortiti caiious upon theui l'ur their protection—thus leaving them open to invasion Irom any quar ter ; and, finally, it provided " that slavery shall not at any time hereafter be perinitte 1 to exist therein." Had Honduras ratified this convention, she would have ratified the establishment of i a State substantially independent within her own limits, and a State at all times subject j t) British influence aud control. Moreover, had the United States ratified that treaty with Great Britain in its original form, we should j have been bound "to recognize aud respect in all future time" these stipulations to the j prejudice of Honduras. Being in direct op j position to the spirit and meaning of the : Clayton aad Bulwer treaty as understood iu the United States, the Senate rejected the entire clause, and substituted in its stead a simple recognition of the sovereign right ot Honduras to these islands in the following language: " The two contracting parties do hereby mutually engage to recognize and j respect the islands of Ruatan, Bonaoo, Utila, . Barbaretta, Helena, and Moral, situate iu i the Bay of Honduras, and off the coast of the republic of Honduras, as under the sov ereignty aud as part of the said republic of Honduras." Great Britain rejected this amendment, assigning as the only reason, that the ratiti cations of the 271h August, 1856, between j her aud Honduras, had not been " exchanged owing to the hesitation of that government." Had this been done, it iir stated that '* her Majesty's government would have had little difficulty iu agreeing to the modification pro posed by tbe Senate, which then would have ' had in effect the same signification as the original wording." Whether this would have been the effect; whether the mere circum stauce of the exchange of the ratifications of the British couveution with Honduras prior in point of time to the ratification of our treaty with Great Britain would, "in effect," have had " the same signification as the ori ginal wording," and thus nullified the amend ment of the Senate, may well be doubted.— It is, perhaps, fortunate that the question has never arisen. The British government, immediately af ter rejecting the treaty as amended, propos ed to enter into a new treaty with the United States, similar in all respects to tbe treaty which they had just refused to ratify, if the United States would oonsent to the Senate's clear and unqualified recognition of the s>v ereighty of" Honduras ovof the Bay Islands the following conditional stipulation : Wnen ever an 1 so soon as the republic of Hondu ras slia.i have concluded and ratified aiueaty with Great Britain, by which Great Britain shall haue ceded, and the republic of Hon duras shall have accepted, the said islands, sulyect to the provisions aud condition con tained in such treaty." This proposition was, ot course rejected. After the Senate had refused to recognize the British couveution with Honduras of the 27ih August, 1856, with lull knowledge of its contents, it was impossible for me, necessar ily ignorant of " the provisions and condi tions" whirh might be contained in in a fu ture convention between the same parties, to sanction tbem in advance. The fact is, that when two nations like Great Britain and the United States, mutu ally desirous as they are, and I trust ever may be, of maintaining the most friendly relations with each other, have unfortunate ly concluded a treaty which they understand in senses direetly opposite, the wisest course is to abrogate such a treaty by mutual con sent, and to commence anew. Had this been done promptly, all difficulties in Cen tral America would most probably, ere this, have been adjusted to the satislation of both parties. The„ time spent in discussing the meaning of the Clayton and Bulwer treaty would have been devoted to this praisewor thy purpose, and the task would have been the more easily accomplished because the in terest of the two countries in Central Auier- ! ica is identical, being confined to securing j sale transits ever all the routes across the i Isthmus. Whilst entertaining these sentiments, I shall nevertheless not refuse to contribute t> I any reasonable adjustment of the Central i American questions which is not practically inconsistent with the American luterpreta- j tioii of the treaty. Overtures for this purpose have been recently made by the British government in a friendly spirit, which 1 cordially reciprocate; but whether this renewed effort will result in success I am , not yet prepared to express an opinion. A i brief period will determine. With France our ancient relations of friend ship still continue to exist. The French j government have, in several instances, which j need nut be enumerated, evinced a spirit of good will and kindness towards our country which I heartily reciprocate. It is, notwith standing, much to be regretted that two na tions whose productions are of such a char acter as to invite the most extensive exchanges and freest commercial intercourse, should continue to enforce ancient and obsolete re ! stnewons of trade against each other. Our j commercial treaty with France is in this re j spcct an exception from our treaties with all other commercial nations, it jealously levies discriminating duties both on tonnage and on articles, the growth, produce or manufacture of the one country, when arriving in vessels belonging to the other. More than forty years ago, on the 3d of March, 1815, Congress passed an act offering i to ail nations to admit their vessels laden with their national productions, into the ports of the I'nited States, upon the same terms with our own vessels, provided they would recip rocate to us similar advantages. This act conhned the reciprocity to the productions of j the respective foreign nations who might enter j into the proposed arrangement with the Uni- ' ted States. The act of May 21, 1828, re moved this restriction and offered a similar reciprocity to all such vessels, without refer ence to the origin of their cargoes. Upon these principles our commercial treaties and arrangements have been founded, except with j France; and let us hope that this exception may not long exist. Our relations with Russia remain, as they ! have ever been, on the most friendly footing. : Tne present Emperor, as well as his predeces- ; surs, have never failed, when the occasion offered, to manifest their good will to our country; and their friendship has always beeu highly appreciated by the government and j people of the United States. With all other European governments, ex cept that of Spain, our relations are as peace j ful as we could desire. I regret to say that no progress whatever lias been made, since . the adjournment of Congress, towards the settlement of any of the numerous claims of our citizens against the Spanish government, i Besides, the outrage committed on our flag i by the Spanish war-frigate Ferroriata, on the j high seas, off the coast ot Cuba, iu March, \ 1855, by tiring into the American Mail ! Steamer, El Dorado, and detaining and j searching her, remains unacknowledged and unredressed. The general tone and temper of the Spanish government towards that of the Uuited States are much to be regretted. Our present envoy extraordinary and minister j plenipotentiary in Madrid has asked to be | recalled; and it is my purpose to send out a • new uiiuister to Spain, with special instruc tious on all questions pending between the two governments, and witu a determination to have them speedily aud aruieabiy adjusted, if this be possible.' In the meantime, when ever our minister urges the just elaims of our citizens ou the notice of the Spanish govern ment, he is met with tho objection that Con gress have never made the appropriation rec ommended by President Polk in his annual message of December, 1847, "to be paid tw the Spanish government for the purpose of distribution among the claimants in tho Am istad case." A similar recommendation was made by my immediate predecessor in his message of December, 1853; and entirely concurring with both in the opinion that this indemnity is justly due under the treaty with Spain on the 27th October, 1795, I earnestly recommend such an appropriation to the fav orable consideration of Congress. A treaty of friendship and oommerce was concluded at Constantinople on the 13th De cember, 1850, between the United States and Persia, the ratifications of which were ex changed at Constantinople on the 13th June, 1857, and the treaty was proclaimed by the President on the 18th Aug ist, 1857. This treaty, it is believed, will prove benefioial to American commerce. The Shah has mani fested an earnest disposition to cultivate friendly relations with our country, aad has expressed a 6trong wish that we should be represented at Teheran by a minister pleni potentiary ; aud I recommend that an appro | priation.be made for this purpose. : Recent occurrences in China have been un favorable to a revisijn of the treaty with that i empire of the 2d July, 1844, with a view to i the security and extension of our commerce. I The 24th article of this treaty stipulated for i a revision of it, in case experience should ! prove this to be re -iaite ; "in which ca* the | two governments will, at tho expiration of ! twelve years from the date of said Convention, ' treat amicably concerning tho same, by means New Series—Vol. 111, No. 6. of suitnLle persons appointed to conduct such I negotiations." Theie twelve years expired ou the 3d of July, 1836; but long before that 1 period was ascertained that important changes in the treaty were necessary ; and several fruitless attempts were made by the commissioner of the United States to effert ! these changes. Another effort was about to be made for the same purpose by our com missioner, in conjunction with the ministers of England and France, but this was suspen ded by the occurrence of hostilities in the Canton river between Great Britain and the Chinese Empire. These hostilities hare ne cessarily interrupted the trade of all nations with Canton, which is now in a state of block ade, and have occasioned a serious loss of life and property. Meanwhile the insurrection within the empire against the existing impe rial dynasty still continues, and it is difficult to anticipate what will be the result. Under these circumstances, 1 have deemed it advisable to appoint a distinguished citizen of Pennsylvania envoy extraordinary and minister plenipotentiary to proceed to China, and to avail himself of any oppoitunities which may offer to effect changes in the ex isting treaty favorable to American commerce. He left the (Jnited States for the place ot his destination in July last in the war steamer Mlnuesota. Special ministers to China have also been appointed by the governments of Great Britain and France. Whilst our minister has been instructed to occupy a neutral position in reference to the existing hostilities at Canton, he wiil curdiaily co-operate with the British and French min isters in all peaceful measures to secure by treaty stipulations, those just concessions t6 commerce which the nations of the world have a right to expect, and which China can not long be permitted to withhold. From assurances received, I entertain no doubt that the three ministers will act in harmonious concert to obtain similar commercial treaties for each of the powers they represent. We cannot fail to feel a deep interest in all that concerns the welfare of the independent renublics on our own continent, as well as of the Empire of Brazil. Our difficulties with New Grenada, which a short time since bore so threatening an aspect are, it is to be hoped, in a fair train of settle ment, in a manner just and honorable to both parties. The Isthmus of Central America, including that of Panama, is the great highway be tween the Atlantic and Pacitic, over which a large portion of the commerce of the wtnid is destined to pass. Tne Cutied btaten arc more deeply interested than any otner nattou in preserving the freedom and security of all the communications across this Isthmus. It is our duty, tnerefore, to take care that they shall not be interrupted either by invasions from our our own country or by wars between the independent States of Central Americk. Under our treaty with New Grenada ot the 12th December, 1846, we are bound to guar anty the neutrality of the Isthmus of Paua ma, through which the Pauuma railroadp as see, " as well as the rights of sovereignty and property which New Grenada has and posses ses over the said Territory." This obligation is founded upon equivalents granted by the trea ty to the government and people of the Uni ted States. Under these circumstances, I recommend to Congress the passage of an act authorizing the President, in case of necessity, to em ploy the laud and naval forces of the United States to carry into effect this guaruutee of neutral ity and protection. I also recommeud simi lar legislation for the security of any other route across the Isthmus in which we acquire an interest by treaty. With the independent republics on this con tinent it is both our duty and our interest to cultivate the must triendly relations. We can never feel indifferent to their fate, and must rejoice in their prosperity. Unfortunately, both for them and for us, our example and advice have lost much of their influence in consequence of the lawless expeditious which have been titted out against some of tbem within the limits of our country. Nothing is better calculated to retard our steady materi al progress, or impair our character as a na tion, than the toleration of such enterprises in violation of the law of nations. It is one of the first and highest duties of any independent State, in its relations wiih the members of the great family of nations, to restrain its people from acts of hostile ag gression against their citizens or subjects.— The most eminent writers on public law do not hesitate to denounce such hostile acts as robbery and murder. Weak and feeble States like those of Cen tral America, may not feel themselves able to assert and vindicate their rights. The case would be far different if expeditions were set on foot within our own territories to make private war against a powerful nation. If such expeditions were fitted out from abroad against any portion of our own country, to burn down our cities, murder and plunder our people, and usurp our government, we should call any power on earth to the strict est account for not preventing such enurmi ties. Ever since the Administration of General Washington, acts of Congress have been in force to punish severely the crime of setting on foot a military expedition withiu the limits of the United States, to proceed from thence against a nation or State with whom we are at peace. The present neutrality act of April 20, 1818, is but little more than a collection of preexisting laws. Under this act the Prcoideut is empowered to employ the laud aud naval force aud militia " for the purpose of preventing the carrying on of any such expedition or enterprise Irom the territories and jurisdiction of the United States, anu the collectors of customs are authorized and required to detain any vessel in port when there is reason to believe she is about to take part in such lawless enterprises. When it was first rendered probable that an attempt would be made to get up another unlawful expedition agaiust Nicarag. i, the Secretary of State issued instructions to the marshals and district attorneys, which were directed by the Secretaries of War ami the Navy to the appropriate army aud navy otn cers, requiring them to be vigilan . use their best exertions in carrying nit at [ Continued on last P a l) e -\
Significant historical Pennsylvania newspapers