occupied by our troops. And I would further suggest that a station between Fort Lyon and Ford Larned would afford greater protection to the supply trains and mail, and render the duties of escorting less severe upon the troops. From the reports made by my scouts I am satisfied that there is a large encampment of Indians north of Fort Lyon upon the headquarters of the Smoky Hill. They should be attacked this winter. To do this and furnish sufficient escort to the emigration and mail, and to guard mail, and to guard the border settlements, more troops are required in this district. At least 1,000 more will be necessary to carry out the plans and wishes of the general commanding department. There is in this district the following amount of ordnance, viz: Four mountain howitzers at Fort Lyon, one 6-pounder and one 12-pounder field guns at Fort Larned. I have sent to Fort Zarah two mountain howitzers that I found at this post on my arrival. If possible, I would recommend that either the Ninth Wisconsin Battery or the First Independent Battery of Colorado be sent into this district for duty, Colonel Covington's attack upon the tribe of Indian near Fort Lyon has precluded all possibility of a peace with them until conquered, or the various tribes almost entirely annihilated. I start in the morning to make the tour of my district and ascertain the wants and condition of my command. I wish to fully acquaint myself with the character of the country and the wants of my district, in order to do which I shall spend a large portion of my time in the field. All communications of importance will be forwarded to me.

Very respectfully, your obedient servant,

JAMES H. FORD,

Colonel Second Colorado Cavalry, Commanding District

By J. E. TAPPAN,

Acting Assistant Adjutant-General.

(In the absence of Colonel Ford.)

CITY POINT, V A., January 4, 1865-7,10 p. m.

Major-General HALLECK,

Washington, D. C.:

I hear nothing either through rebel papers or direct from Granger's movement from Pascagoula. I would like to have Canby operate against Mobile this winter with such force as he can collect form his command, but I will not send any troops to him from Middle Tennessee. If Hood goes south from Corinth order A. J. Smith and two divisions besides to Baltimore, Md., to be thrown where they may be wanted on arrival.

U. S. GRANT,

Lieutenant-General.

HDQRS. MILITARY DIVISION OF WEST MISSISSIPPI,
New Orleans, La., January 4, 1865.

Captain J. P. FOSTER, U. S. Navy,

Commanding Third and Fourth Dist. Miss. Squadron,

Off Mouth of Red River:

SIR: Your communication of December 31 has been received. I have no information with regard to the boats you mention, and I believe it is not the President's wish that boats should be allowed to pass