Time so gained should suffice to enable a settlement to be reached.  He had just heard of a satisfactory conversation which the Russian Minister for Foreign Affairs had yesterday with the Austrian Ambassador at St. Petersburgh.  The former had agreed that much of the Austro-Hungarian note to Servia had been perfectly reasonable, and in fact they had practically reached an understanding as to the guarantees which Servia might reasonably be asked to give to Austria-Hungary for her future good behaviour.  The Russian Ambassador urged that the Austrian Ambassador at St. Petersburgh should be furnished with full powers to continue discussion with the Russian Minister for Foreign Affairs, who was very willing to advise Servia to yield all that could be fairly asked of her as an independent Power.  Baron Macchio promised to submit this suggestion to the Minister for Foreign Affairs.

No. 62.

Sir M. de Bunsen to Sir Edward Grey.—­(Received July 28.)

(Telegraphic.) Vienna, July 28, 1914.

I spoke to Minister for Foreign Affairs to-day in the sense of your telegram of 27th July to Berlin.  I avoided the word “mediation,” but said that, as mentioned in your speech,[187] which he had just read to me, you had hopes that conversations in London between the four Powers less interested might yet lead to an arrangement which Austro-Hungarian Government would accept as satisfactory and as rendering actual hostilities unnecessary.  I added that you had regarded Servian reply as having gone far to meet just demands of Austria-Hungary; that you thought it constituted a fair basis of discussion during which warlike operations might remain in abeyance, and that Austrian Ambassador in Berlin was speaking in this sense.  Minister for Foreign Affairs said quietly, but firmly, that no discussion could be accepted on basis of Servian note; that war would be declared to-day, and that well-known pacific character of Emperor, as well as, he might add, his own, might be accepted as a guarantee that war was both just and inevitable.  This was a matter that must be settled directly between the two parties immediately concerned.  I said that you would hear with regret that hostilities could not now be arrested, as you feared that they might lead to complications threatening the peace of Europe.

In taking leave of his Excellency, I begged him to believe that, if in the course of present grave crisis our point of view should sometimes differ from his, this would arise, not from want of sympathy with the many just complaints which Austria-Hungary had against Servia, but from the fact that, whereas Austria-Hungary put first her quarrel with Servia, you were anxious in the first instance for peace of Europe.  I trusted this larger aspect of the question would appeal with equal force to his Excellency.  He said he had it also in mind, but thought that Russia ought not to oppose operations like those impending, which did not aim at territorial aggrandisement and which could no longer be postponed.