With the surrender of Vicksburg and Port Hudson, Louisiana a few days earlier, the Mississippi River was once again open to peaceful traffic and the steamboat Imperial left St. Louis, Missouri bound for New Orleans with a full cargo, the first since the outbreak of the war.  She arrived July 16, 1863 at the dock in New Orleans after an uneventful passage, demonstrating the great commercial riverway again open for business.  (By John Osborne) 

As the New York City draft riots entered their third day, Colonel Robert Nugent, the acting assistant provost marshal for the southern district of New York, which included New York City, received word from Washington to suspend the Conscription Act in the area and make a public announcement. Nugent's own house on West 86th Street had already been looted and burned.  The announcement, together with heavy and forceful actions from arriving federal troops and militia helped dampen the unrest, which petered out the next day. (By John Osborne)

Sam Houston, former President of the Republic of Texas, former Governor of the state of Texas, and former United States Senator, died of pneumonia in Huntsville, Texas where he had spent his retirement from politics.  Elected governor again in 1861, Houston had fought powerfully against the secession of Texas and on his failure to prevent it, resigned. He was buried in Huntsville.  He was seventy years old.  (By John Osborne)

French forces under General E.F. Forey had taken Mexico City the month before and soon after appointed a  Junta Superior de Gobeirno . On July 8, the Assembly of the Junta met and two days later issued the proclamation that Mexico was now an hereditary empire.  The throne was offered to Archduke Maximillian of Austria but, failing that, the document stated that "the Mexican people relies on the good will of  His Majesty Napoleon III, Emperor of the French, to indicate for it another Catholic Prince."  Maximillian accepted in October 1863.  (By John Osborne)