The opening of negotiations between Napoleon and Fox's Ministry in May, 1806, first shook this relation of confidence and obedience. Peace between France and England involved the abandonment on the part of Napoleon of any attack upon Portugal; and Napoleon now began to meet Godoy's inquiries after his Portuguese principality with an ominous silence. The next intelligence received was that the Spanish Balearic Islands had been offered by Napoleon to Great Britain, with the view of providing an indemnity for Ferdinand of Naples, if he should give up Sicily to Joseph Bonaparte (July, 1806.) This contemptuous appropriation of Spanish territory, without even the pretence of consulting the Spanish Government, excited scarcely less anger at Madrid than the corresponding proposal with regard to Hanover excited at Berlin. The Court began to meditate a change of policy, and watched the events which were leading Prussia to arm for the war of 1806. A few weeks more passed, and news arrived that Buenos Ayres, the capital of Spanish South America, had fallen into the hands of the English. This disaster produced the deepest impression, for the loss of Buenos Ayres was believed, and with good reason, to be but the prelude to the loss of the entire American empire of Spain. Continuance of the war with England was certain ruin; alliance with the enemies of Napoleon was at least not hopeless, now that Prussia was on the point of throwing its army into the scale against France. An agent was despatched by the Spanish Government to London (Sept., 1806); and, upon the commencement of hostilities by Prussia, a proclamation was issued by Godoy, which, without naming any actual enemy, summoned the Spanish people to prepare for a war on behalf of their country. [Treaty of Fontainebleau, Oct., 1807.] Scarcely had the manifesto been read by the Spaniards when the Prussian army was annihilated at Jena. The dream of resistance to Napoleon vanished away; the only anxiety of the Spanish Government was to escape from the consequences of its untimely daring. Godoy hastened to explain that his martial proclamation had been directed not against the Emperor of the French, but against the Emperor of Morocco. Napoleon professed himself satisfied with this palpable absurdity: it appeared as if the events of the last few months had left no trace on his mind. Immediately after the Peace of Tilsit he resumed his negotiations with Godoy upon the old friendly footing, and brought them to a conclusion in the Treaty of Fontainebleau (Oct., 1807), which provided for the invasion of Portugal by a French and a Spanish army, and for its division into principalities, one of which was to be conferred upon Godoy himself. The occupation of Portugal was duly effected, and Godoy looked forward to the speedy retirement of the French from the province which was to be his portion of the spoil. [Napoleon uses the enmity of Ferdinand against Godoy.]