November 12th.–An irruption of dirty little boys in the streets shouting out, “Glorious Union victory! Charleston taken!” The story is that Burnside has landed and reduced the forts defending Port Royal. I met Mr. Fox, Assistant-Secretary to the Navy, and Mr. Hay, Secretary to Mr. Lincoln, in the Avenue. The former showed me Burnside’s despatches from Beaufort, announcing reduction of the Confederate batteries by the ships and the establishment of the Federals on the skirts of Port Royal. Dined at Lord Lyons’, where were Mr. Chase, Major Palmer, U.S.E., and his wife, Colonel and Mrs. Emory, Professor Henry and his daughter, Mr. Kennedy and his daughter, Colonel Wilmot and the Englishry of Washington. I had a long conversation with Mr. Chase, who is still sanguine that the war must speedily terminate. The success at Beaufort has made him radiant, and he told me that the Federal General Nelson (Since shot dead by the Federal General Jeff. C. Davis in a quarrel at Nashville.)–who is no other than the enormous blustering, boasting lieutenant in the navy whom I met at Washington on my first arrival–has gained an immense victory in Kentucky, killing and capturing a whole army and its generals.
A strong Government will be the end of the struggle, but before they come to it there must be a complete change of administration and internal economy. Indeed, the Secretary of the Treasury candidly admitted that the expenses of the war were enormous, and could not go on at the present rate very long. The men are paid too highly; every one is paid too much. The scale is adapted to a small army not very popular, in a country where labour is very well paid, and competition is necessary to obtain recruits at all. He has never disguised his belief the South might have been left to go at first, with a certainty of their return to the Union.