being bad, was the reverse; and General Valdez has assured me there were only eight hundred recruits. The battle, fought near Quenoa, is called Ayacucho (reucon de los muertos), because that is the name of the pampa where it took place, and is not more than a quarter of a mile from the village. Without doubt, it is the most glorious, the most important, and the most military action ever fought in South America. Had the Spaniards gained it, the struggle in Peru for independence must have been protracted for years and years to come; and even Chili and Colombia would have trembled for their safety. La Serna, Canterac, and Valdez, deserve great credit for having brought their troops to such a degree of perfection. Their cavalry, in equipment and discipline, is, perhaps, little inferior to the British, and that is saying all that is possible that can be said in their favour. The viceroy, Valdez, Canterac, Monet, Garcia, Comba, and several others, are anxious to return to Europe. Olaneta styles himself general en jefe del exercito real en Peru. He may have from three thousand to four thousand men. Unless we take active measures against him at once, he may yet cause much trouble: probably upwards of one thousand of Canterac's dispersos may unite with him, if they be not pursued."

In consequence of the treaty concluded between La Serna and Sucre at Ayacucho, an officer was sent with a flag of truce, to summon the fortress of Callao, but was not admitted beyond the out-posts of the Spanish force; and General Rodil, who commanded in the place, refused to receive any propositions for a surrender. By command of the president Bolivar, the commissioner of the government and of the Spanish army which capitulated at Ayacucho, then repaired on board his majesty's ship Cambridge, which cast anchor out of the reach of cannon-shot from Callao. The commander, Captain Maling, afforded every facility for this negotiation, and forwarded a note to the go

vernor of Callao, explaining the nature of the proposi-' tions about to be made to him, and offering his ship for carrying on the conferences, if Rodil chose to send commissioners on board. The reply of the governor was a refusal of all mediation: he even expressed a doubt of the events of Ayacucho, and added a strong protest that he would never admit communications, under cover of a flag of truce, from the enemies of his king. There remaining no longer any hope of a successful issue, the Cambridge sailed out of the harbour, and landed the commissioners at Chorillos from whence they returned to Lima.

An extraordinary Number of the Argus of Buenos Ayres, contains the following convention for an armistice between Olaneta and General Sucre. It had received the ratification of the former, but not that of the Colombian general.

Art. 1. There shall be a suspension of hostilities during four months between the royal and liberating armies.

2. During that time the armies shall remain in their present positions, one to the north, the other to the south, of the Desaguadero. The line of demarcation shall be the same as that which has hitherto divided the two viceroyalties.

3. Colonel Lanza shall occupy the interior of the vallies, or towns of Inquisive, and their vicinity as far as Palca. If any of his troops shall have approached as far as Yungas, they shall retire to the point marked out, leaving the territory subject to the government of La Paz, as well as those other towns of that province and that of Cochabamba, which were not in his power before the events of Ayacucho.

4. The district of Tarapaca, which belongs to the province of Arequipa, shall continue under the orders of the commander of the royal army.

5. In order that the territory of the province of Arequipa may not be dismembered in consequence of the foregoing article, the district of Apolobamba, belonging to this province, shall be incorporated with that of Puno. The undersigned commissioners shall be at liberty to retire with their property and families to Belcisa, in order to enable them to arrange their affairs; and the same privilege shall be acceded to any other inhabitants of the district.

6. The period of the armistice shall be reckoned from the date of the ratification by General Antonio Jose Sucre.

7. Should hostilities unfortunately be renewed, the campaign shall not recommence without eight days' notice given by either party.

8. The province of Salta is included in the suspension of hostilities and in the present armistice,

The Zea, a corvette of the Spanish royal navy, commanded by M. Hull, arrived the day before yesterday from Quilca, in Peru, after a voyage of one hundred and eighteen days. Captain Hull has landed alone, and the corvette has had no communication with the port it has orders to fire upon any boats which may approach within a certain distance; and the owner of the boat is to pay a fine of 100 francs. Two hours after his landing, Captain Hull set out for Madrid, with despatches for the king. Yesterday arrived the St. Lawrence merchantman, in forty-seven days from Porto Rico: no communication is allowed with the port, and the captain has been fined 100 piasters for having communicated with a fishing-boat. Notwithstanding all these precautions, we have, however, heard at Cadiz, that there are on

board the Zea several officers of the armies of Canterac and La Serna-that the Pezuela sailed from Quilca for Spain four days before the Zea, likewise with some officers of the viceroy's army and lastly that the St. Francis d' Assise ship of the line, and the Achilles brig, had sailed from Lima for Manilla, to endeavour to check she spirit of opposition to the government of the Peninsula which showed itself in the island,

Madrid, May 5.

An express from Cadiz that arrived on the 3d has given rise to a report that a vessel from the coast of Peru had arrived in that port with a great many officers of La Serna's army, and a dozen monks, who seek refuge in Spain.

While vessels arrive in all the ports of Europe with the melancholy recital of our irreparable disasters in Peru, and others bring to Cadiz the remains of our armies, it is curious to see our government loudly proclaim an expedition of two regiments, fitting out at Corunna, to go, it is said, to reconquer Peru, where the armies of Canterac and La Serna have failed. But we must not be deceived respecting the object of this expedition, for it is not to Peru, on which our ministers think no longer, but to the Havannah that they mean to send it, to prevent, if possible, the emancipation of that rich colony.

TRADE AND COMMERCIAL INTELLIGENCE.

Mr. Huskisson's Policy on the American and West Indian Trade.

The two speeches of Mr. Huskisson, respecting the reduction of the duties on importation, have conferred a benefit which sanctions the claim of this minister to the unceasing gratitude of the nation. These speeches, the legislative resolutions consequent upon them, and those to which they will necessarily lead, exhibit a new era in the existence of the first commercial empire in the world. We regret that we can give but a rapid sketch of these beautiful productions of political wisdom, which should be constantly present to the mind of every statesman, as a model worthy his imitation, and as a proof of the power with which he is invested of doing good. Mr. Huskisson, previously to entering upon the subject, observed that he had availed himself of every medium of advice and information, and that he was more than ever impressed with the conviction, that competition and liberty, in commercial relations, are the most effectual meaus of increasing the national prosperity. This principle he considered incontrovertible, and confidently submitted it to the investigation of every party interested in the subject; but he earnestly recommended the removal, as soon as possible, of every restraint with which commerce had been fettered by the influence of long established prejudices. As to himself, (Mr. Huskisson) he VOL. II. No. 4