trade with that Empire.

By the act of the 5th of August last Congress authorized the President
to instruct the commanders of suitable vessels to defend themselves
against and to capture pirates. This authority has been exercised in a
single instance only. For the more effectual protection of our extensive
and valuable commerce in the Eastern seas especially, it seems to me
that it would also be advisable to authorize the commanders of sailing
vessels to recapture any prizes which pirates may make of United States
vessels and their cargoes, and the consular courts now established by
law in Eastern countries to adjudicate the cases in the event that this
should not be objected to by the local authorities.

If any good reason exists why we should persevere longer in withholding
our recognition of the independence and sovereignty of Hayti and
Liberia, I am unable to discern it. Unwilling, however, to inaugurate a
novel policy in regard to them without the approbation of Congress, I
submit for your consideration the expediency of an appropriation for
maintaining a chargé d'affaires near each of those new States. It does
not admit of doubt that important commercial advantages might be secured
by favorable treaties with them.

The operations of the Treasury during the period which has elapsed since
your adjournment have been conducted with signal success. The patriotism
of the people has placed at the disposal of the Government the large
means demanded by the public exigencies; Much of the national loan has
been taken by citizens of the industrial classes, whose confidence in
their country's faith and zeal for their country's deliverance from
present peril have induced them to contribute to the support of the
Government the whole of their limited acquisitions. This fact imposes