CITY POINT, VA., August 17, 1864-9 a.m. [Received 7 p.m. 18th.]

Major General P. H. SHERIDAN,

Near Winchester, Va.:

Our movement to the north of the James River has exercised the enemy a great deal, and from statements of prisoners he has lost very heavily; it has, too, undoubtedly prevented sending re-enforcements to the Valley. Richmond is now threatened by no mean force on the north, and Petersburg by a large force on the south. It is highly probable that the constant vigilance I shall compel the enemy to keep up will force him to recall a large portion of Early's force. Watch closely and be prepared to move at any moment. If you find Early sending off any of his troops strike suddenly and hard.

U. S. GRANT,

Lieutenant-General.

BERRYVILLE, VA., August 17, 1864-9 p.m.

LieutenantGeneral U. S. GRANT,

Commanding Armies of the United States:

All your dispatches have been received. Kershaw's division is here, and Wickham's and Lomax's brigades, of Fitz Lee's cavalry division, also another brigade from Reams' Station. The First Cavalry Division captured 300 prisoners yesterday; most of them belonged to Kershaw's division. One division of A. P. Hill's corps is reported here, but no prisoners taken. The position that I held in front of Strasburg was a very bad one, from which I could be forced at any time precipitately. Winchester is untenable except as a provisioned garrison. I have, therefore, taken a position near Berryville, which will enable me to get in their rear if they should get strong enough to push north. Winchester is now held by the cavalry, with one brigade of infantry of the Sixth Corps to act with it. The cavalry engagement in front of Front Royal was splendid; it was on open ground; the saber was freely used by our men. Great credit is due to Generals Merritt and Custer and Colonel Devin. My impression is that troops are still arriving. Kershaw's and Fitz Lee's divisions came through Culpeper. Moshy has annoyed me and captured a few wagons. We hung one and shot six of his men yesterday. I have burned all wheat and hay, and brought off all stock, sheep, cattle, horses, &c., south of Winchester. The prisoners captured belong to Kershaw's division, and Wickham's and Lomax's brigades, of Fitz Lee's cavalry division.

P. H. SHERIDAN,

Major-General.

[AUGUST 17, 1864.-For Sheridan to Halleck, reporting operations, see p.19.]

HARPER'S FERRY, August 17, 1864. [Received 3 p.m.]

Honorable E. M. STANTON:

A soldier left as nurse to wounded at Paris some weeks since came in with rebel surgeon's pass to-day for medicine and clothing to take to our men. He left Paris Monday morning 6 o'clock. He heard of no