ent treaties were intended to foster, and which
make close communication a logical and commercial necessity.

The wisdom of concluding a treaty of commercial reciprocity with Mexico
has been heretofore stated in my messages to Congress, and the lapse of
time and growth of commerce with that close neighbor and sister Republic
confirm the judgment so expressed.

The precise relocation of our boundary line is needful, and adequate
appropriation is now recommended.

It is with sincere satisfaction that I am enabled to advert to the
spirit of good neighborhood and friendly cooperation and conciliation
that has marked the correspondence and action of the Mexican authorities
in their share of the task of maintaining law and order about the line
of our common boundary.

The long-pending boundary dispute between Costa Rica and Nicaragua was
referred to my arbitration, and by an award made on the 22d of March
last the question has been finally settled to the expressed satisfaction
of both of the parties in interest.

The Empire of Brazil, in abolishing the last vestige of slavery among
Christian nations, called forth the earnest congratulations of this
Government in expression of the cordial sympathies of our people.

The claims of nearly all other countries against Chile growing out of
her late war with Bolivia and Peru have been disposed of, either by
arbitration or by a lump settlement. Similar claims of our citizens will
continue to be urged upon the Chilean Government, and it is hoped will
not be subject to further delays.

A comprehensive treaty of amity and commerce with Peru was proclaimed on
November 7 last, and it is expected that under its operation mutual
prosperity and good understanding will be promoted.

In pursuance of the policy of arbitration, a treaty to settle the claim
of Santos, an American citizen, against Ecuador has been concluded under
my authority, and will be duly submitted for the approval of the Senate.

Like disposition of the claim of Carlos Butterfield against Denmark and
of Van Bokkelen against Hayti will probably be made, and I trust the
principle of such settlements may be extended in practice under the
approval of the Senate.

Through unforeseen causes, foreign to the will of both Governments, the
ratification of the convention of December 5, 1885, with Venezuela, for
the rehearing of claims of citizens of the United States under the
treaty of 1866, failed of exchange within the ter