We have no rest in this dull season" from sensations in foreign affairs. Closely following on this great Soudanese victory, which itself took all interest out of the Cznr's famous peace manifesto, came another insurrection in Crete, circumstantial reports of an Anglo-German alliance, and of a completed understanding with Russia with regard to the Far East; and then immediately afterwards we hear of the dismissal of Li Hung-chang. The rumours with regard to an Anglo-Russian agreement are both premature and inaccurate but there is nevertheless in each case a solid foundation for them. Of course we have not entered and will not enter into offensive and defensive alliance with Germany. Neither country desires it. It would entail on both nations responsibilities which they do not want, and it would upset the balance of power" between the Triple and Dual Alliances. But we have certainly been negotiating with Germany as to a common policy in the Far East, and it is not improbable that an arrangement has actually been arrived at. With regard to England and Russia, L have reliable information that the negotiations havernot yet been carried to a definite issue; but' they are proceeding amicably. As to Li Hung-chang's dismissal, there is good deal of difference of opinion among the newspapers here as to whether this is the result of British action. My information not only is that the dismissal was definitely demanded by Sir Claude Mucdonald on behalf of the British Government, but that Russia was well aware of the demand and foresaw the result. Russia is not, however, greatly concerned. She has got all she wanted out of China through Li, und gratitude will not induce her to interfere on Li's behalf now that Britain and Russia are within measurable distance of an amicable agreement.
Text read from the printed page and cleaned; old type leaves the occasional error.