Altogether there are about sixty churches in Bahia, and some of them are among the finest on the South American continent. Bahia was the first settlement of Europeans in Brazil, and a flourishing city before Rio Janeiro was known to the world. The bay was discovered by Americus Vespucius in 1503, and the city was founded seven years later. From 1549 until 1763 it was the capital of the Portuguese possessions in South America; in the last-named year the honor was transferred to Rio Janeiro, and the city has suffered a great deal during the various political commotions to which Brazil has been subject. [Illustration; PORTERS ASLEEP.] The population of more than one hundred and fifty thousand is as variously composed as that of Para or Pernambuco. The whites, blacks, and mixed races are about equally divided; among the former there are many English and German merchants, the Germans predominating. The foreign commerce is chiefly with England and Germany, but there is a considerable trade with the United States, in which the Brazilian exports vastly exceed the importations. "We were saved the exertion of walking to the upper town," said Fred, in his note-book, "as there is a steam elevator which performs the work much more cheaply than human muscle could do it. From the top of the hill, about four hundred feet above the bay, we had a magnificent view that we will never forget. "In front was the ocean, with the deep blue of the tropics, and its horizon line, which seemed rising to meet the sky. The bay was dotted with sails and row-boats; out on the ocean there was here and there a stipple of white which told of a sail, or a stream of smoke denoting the course of a steamer; on either side of our position were streets and squares of handsome houses, standing in rows and groups of palm or other trees of the equatorial regions; and in the background of the picture was a setting of everlasting hills, interspersed with bits and patches of prairie or undulating ground. We have nowhere seen a prettier spot than this, and endorse the assertion of previous visitors that Bahia is one of the most picturesque cities of the South American continent. "When we landed we were pestered by pedlers who wanted to sell the famous feather-flowers of Brazil, and this reminded us that Bahia is the centre of the industry. After we had enjoyed the view from the upper part of the city we engaged a carriage and drove to the convent where the finest of these flowers are made. Formerly the convent had a monopoly of the business, and derived a handsome revenue from the work of the nuns; but of late years there have been many rivals, and the convent trade has not been as prosperous as of yore.