small squads towards the south. They said that Price was about to dismount them and use them as infantry, which they would not like. Our forces here are said to be 50,000. Mr. M. adds that the secessionists in Johnson and Henry Counties are in very low spirits, and that the rebels were not very anxious to meet us in equal numbers. There were 500 rebels at Warrensburg when Mr. M. left the place yesterday night.

This morning I sent the detachment of cavalry under Captain Woldemar to La Monte and Sissonville. They have not returned yet, but will be here to-night. General Lane has, according to my last information, left Henry County and marched back towards the Kansas line. Montgomery was said to be at West Point, northwest of Butler. From the subjoined order you will see what instructions General Lane has received by me.

If the movement of Price is confirmed, I would propose the following course of operations:

1. All troops this side of the La Mine River (west) being able to move should at once proceed to Warsaw, take possession of the place, and prepare the necessary means of crossing the river by the main corps of the army. For this purpose the corps of Colonel Bissell and a pioneer company should be immediately forwarded to Sedalia to join this command.

2. The troops behind the La Mine River (at Syracuse, Tipton, Booneville, Jefferson, &c.) should advance by Versailles to Warsaw.

3. The troops at Rolla to Linn Creek.

4. Lane and Sturgis should unite at Warrensburg, to be directed to Clinton and Warsaw. In case this plan, which is in conformity with your ideas previously expressed, should find your approbation, I will immediately advance to Warsaw. If the enemy should, after being re-enforced at Rose Hill or Papinsville, return towards the north or east, our position on the Osage River would be so that we could act under great advantages.

I am, sir, with the greatest respect, your most obedient servant,

F. SIGEL,

Acting Major-General, Commanding Third Division.

[Inclosure Numbers 3.]

HEADQUARTERS THIRD DIVISION ARMY OF THE WEST, Sedalia, October 4, 1861.

Acting Major-General ASBOTH, Jefferson City, Mo.:

GENERAL: As no train did come up and leave yesterday, I could not send you my report Numbers 5 that day. The 40 men of cavalry, under Captain Woldemar, were within 8 miles of Warrensburg, and report 500 men at that place. Price was yesterday at Rose Hill, and has left the city, moving in a southwestern direction. He must now be between Big Creek and Grand River. Lane was not at Clinton, and did not, therefore, receive my dispatch. He is reported to be at West Point. It may be that Price is marching against Lane and Sturgis for the laurels of another Lexington, but this seems to me rather improbable. One of my scouts returning from Henry County reports that the troops of Price, amongst whom he was, speak about "reorganizing the army"; "the army would be given over to the Confederate States"; "that Johnston would bring them a great store of new clothing from the South and 25,000 men"; "that he would take the command, and that Price would serve under him."