America will no doubt exert herself, and send back every emissary to her Plenipotentiaries here; for the Ministry in England are now deceiving the people with the hope that ---- is going to operate a reconciliation, and with many his ---- of the same nature. In the course of this affair, we have been perfectly satisfied with the French Ministry. They have proved candid and moderate. Mr Jay will write about Spain. Very little is to be said of her, and by her very little is to be done. It appears Holland is going on well, and I believe Mr Adams is satisfied, except upon the affair of money, which is the difficult point, and goes on very slowly. By all I can see, I judge that if America insists on a share in the fisheries, she will obtain it by the general treaty; this point is too near my heart to permit me not to mention it. The news of Count de Grasse's defeat has been very much felt in France, and the whole nation was made truly unhappy by this disagreeable event. The general cry of the people was such, that I do not believe any French Admiral will, in any case take upon himself to surrender his own ship. The people at large have perhaps been too severe, and government have not pronounced, as there is to be a court martial. But I was happy to see a patriotic spirit diffused through every individual. The States of several Provinces, the great cities, and a number of different associations of men, have offered ships of the line to a greater number than have been lost. In the meanwhile, government are using the greatest activity, and this has given a spur to the national exertions. But independent of the stroke in itself, I have been sighing upon the ruin of the plans I had proposed towards a useful co-operation upon the coasts of America. My schemes have been made almost impracticable, and my voyage (the case of negotiations excepted) has not been so serviceable to the public, as I had good reasons to expect. The Spaniards are going at last to besiege Gibraltar. Count d'Artois, the King of France's brother, and the Duc de Bourbon, a Prince of the blood, are just setting out to serve there as volunteers. They intend to begin in the first days of September; so that we may expect one way or other to get rid of that encumbrance, and let the siege succeed or miscarry, we may expect hereafter to make use of the combined forces of the House of Bourbon. We are waiting for intelligence from the East Indies, where it appears we have got a superiority, and are entitled to expect good news from that quarter. The enemy had some despatches by land, but either our operations are of a later date, or they only have published a part of their intelligence.