rchants had also made
extensive sales. Large quantities of goods were daily sent forward to
the mines, as the Indians, heretofore so poor and degraded, have
suddenly become consumers of the luxuries of life. I before mentioned
that the greater part of the farmers and rancheros had abandoned their
fields to go to the mines. This is not the case with Captain Sutter,
who was carefully gathering his wheat, estimated at 40,000 bushels.
Flour is already worth, at Sutter's, 36 dollars a-barrel, and will soon
be 50. Unless large quantities of breadstuffs reach the country much
suffering will occur; but as each man is now able to pay a large price,
it is believed the merchants will bring from Chili and the Oregon a
plentiful supply for the coming winter.

"The most moderate estimate I could obtain from men acquainted with the
subject was, that upwards of 4,000 men were working in the gold
district, of whom more than one-half were Indians, and that from 30,000
to 50,000 dollars' worth of gold, if not more, were daily obtained. The
entire gold district, with very few exceptions of grants made some
years ago by the Mexican authorities, is on land belonging to the
United States. It was a matter of serious reflection to me, how I could
secure to the Government certain rents or fees for the privilege of
securing this gold; but upon considering the large extent of country,
the character of the people engaged, and the small scattered force at
my command, I resolved not to interfere, but permit all to work freely,
unless broils and crimes should call for interference.

"The discovery of these vast deposits of gold has entirely changed the
character of Upper California. Its people, before engaged in
cultivating their small patches of ground, and guarding their herds of
cattle and horses, have all gone to the mines, or are on their way
thither. Labourers of every trade have left their work-benches, and
tradesmen their shops; sailors desert their ships as fast as they
arrive on the coast; and several vessels have gone to sea with hardly
enough hands to spread a sail. Two or three are now at anchor in San
Francisco, with no crew on board. Many desertions, too, have taken
place from the garrisons within the influence of these mines;
twenty-six soldiers have deserted from the post of Sonoma, twenty-four
from that of San Francisco, and twenty-four from Monterey. I have no
hesitation now in saying, that there is more gold in the country
draine