[Inclosure.]

LOOKOUT MOUNTAIN-12.40 p.m.

Major-General PALMER:

The enemy have checked us near the top of the mountain. We do not know their strength. Will fall back. We have 1 wounded.

FITCH,

Lieutenant, Signal Officer.

Can you send more men? We only have 35.

HEADQUARTERS TWENTY-FIRST ARMY CORPS, September 7, 1863-5.40 p.m.

Major General J. M. PALMER,
Comdg. Second Division, Twenty-first Army Corps:

SIR: The general commanding directs that you move with your command to-morrow morning at 3 o'clock, and take up a position about 2 miles to General Wood's rear, on Trenton Valley road.

I am, sir, very respectfully, your obedient servant,

P. P. OLDERSHAW,

Captain and Assistant Adjutant-General.

HEADQUARTERS, Poe's,&c., September 7, 1863-6 a.m.

Lieutenant Colonel C. GODDARD:

Very large clouds of dust were seen across the river all day yesterday; the troops were moving down and back from the river. Minty still reports the enemy falling back from the river. He also reports that General Buckner has ordered that all able-bodied negroes be sent to Macon, Ga., to work on fortifications. I would sooner suppose to be organized into an army.

My assistant adjutant-general, Lieutenant-Colonel Kimberly, has, with plain black and white flags and a simple code, established communication by signal between my headquarters and every crossing for 16 miles up and down the river, greatly economizing patrols and couriers. The immediate line of the river has been remarkably quiet for the pas twenty-four hours.

Very respectfully,
W. B. HAZEN,

Brigadier-General.

HDQRS. FIRST BRIG., FOURTH DIV.,14TH ARMY CORPS, In front of Chattanooga, September 7, 1863.

Brigadier-General HAZEN:

GENERAL: General Wood opened on the enemy this p.m. on the opposite side of the river, at the mouth of Lookout Valley, with musketry and artillery, the enemy replying. The enemy have two batteries on the point of Lookout Mountain, one commanding Lookout Valley, and the other the river and valley in this direction; also breastworks at Lookout Creek, commanding the road to Chattanooga. I have directed Colonel Jordan to send some men over the river at the mouth of Chickamauga in the morning, and I shall take one regiment and a section of artillery and go there in person to-