Mr. Seward to Mr. Adams.

No. 931.]

Sir: The coming European steamer of the 16th of April has been announced at Halifax, but any despatches she brings cannot reach the department until after the closing of the outgoing mail.

There has been a high excitement in the money market, producing, of course, some uneasiness in regard to the fiscal condition of the government. This uneasiness has compelled Congress to increase customs by fifty per cent., and it is stimulating that body to enact, as speedily as possible, the laws necessary for augmenting the internal revenue. The country responds cheerfully and quite unanimously to these healthful measures.

Advices received yesterday from Major General Banks and General Steele are understood at the War Department as removing all grounds for apprehension for the safety of the forces under their respective commands, in Louisiana and Arkansas. It is understood here that their forces were to be put in motion again on the 28th of April last.

Advices from North Carolina inform us that the insurgents have withdrawn from that State, and are joining the main rebel army in Virginia. We also learn that the insurgent corps which had been operating against our lines in Alabama and Mississippi are now joining the main body in the vicinity of Atlanta, in Georgia.

On our side there has been a noiseless but effective gathering of forces at the point, and the common expectation is that a collision may occur at any time. I hardly need say that our military authorities are satisfied with the position. We have accepted a contribution of 85,000 volunteers for one hundred days from the northwestern States, to supply garrisons, and leave the regular forces free for active operations in the field.

It is observed, with great pain, that the insurgents seem to have adopted as a principle the extermination of such of the colored troops as may fall into their hands as prisoners of war. If the anti-slavery sentiment of foreign nations has any sincerity whatever, this atrocious principle cannot fail to be earnestly condemned and execrated.

I am, sir, your obedient servant,

WILLIAM H. SEWARD.

C. F. Adams, Esq., &c., &c., &c.

Same to other ministers in Europe.