January 27th.—Clear, and coldest morning of the winter. None but the rich speculators and quartermaster and commissary peculators have a supply of food and fuel. Much suffering exists in the city; and prices are indeed fabulous, notwithstanding the efforts of the Secretary of the Treasury and the press to bring down the premium on gold. Many fear the high members of the government have turned brokers and speculators, and are robbing the country—making friends of the mammon of unrighteousness, against the day of wrath which they see approaching. The idea that Confederate States notes are improving in value, when every commodity, even wood and coal, daily increases in price, is very absurd!
The iron-clad fleet returned, without accomplishing anything— losing one gun-boat and having some fifteen killed and wounded. The lower house of Congress failed yesterday to pass the Midshipman bill over the President’s veto—though a majority was against the President.
It is said, and published in the papers, that Mrs. Davis threw her arms around Mr. Blair and embraced him. This, too, is injurious to the President.
My wood-house was broken into last night, and two (of the nine) sticks of wood taken. Wood is selling at $5 a stick this cold morning; mercury at zero.
A broker told me that he had an order (from government) to sell gold at $35 for $1. But that is not the market price.
It is believed (by some credulous people) that Gen. J. E. Johnston will command the army in Virginia, and that Lee will reside here and be commander-in-chief. I doubt. The clamor for Gen. J. seems to be the result of a political combination.
Mr. Hunter came to the department to-day almost in a run. He is excited.
Lieut.-Gen. Hardee, of Charleston, 26th (yesterday), dispatches to the Secretary that he has received an order from Gen. Cooper (Adjutant-General) for the return of the 15th Regiment and 10th Battalion North Carolina troops to North Carolina. He says these are nearly the only regular troops he has to defend the line of the Combahee—the rest being reserves, disaffected at being detained out of their States. The withdrawal may cause the loss of the State line, and great disaster, etc. etc.
Official statement of Gen. Hood’s losses shows 66 guns, 13,000 small arms, etc. The report says the army was saved by sacrificing transportation; and but for this the losses would have been nothing.