Daily National Intelligencer

FROM SOUTH AMERICA:

The brig Nancy-Ann, Capt. Osgood, arrived at Salem on Thursday last, in 70 days from Buenos Ayres. Capt. O. states, that a few days previous to his sailing, accounts had been received at Buenos Ayres of a general battle in Chili, between the Spanish army under Gen. Osorio and the Patriot army under Gen. Rundean, in which the latter was defeated with the loss of nearly all his army, which gave the old Spaniards full possession of that country. The Patriots, however, had sent off a reinforcement to join their retreating army; but it was thought they would arrive too late to retrieve their losses. The Patriots were so divided, & such unlimited jealousy existed between the parties, that they do not act in concert, which is the cause of their misfortunes. After the defeat at Chili, the Supreme Director became very unpopular, and was loudly complained of for not having sooner sent off reinforcements of troops, who, it was said, he detained in the city merely to keep himself in power. It was thought another party would shortly come into power, and a new Director be appointed.