The California Gold Rush of 1849 A On January 24, 1848, James Wilson Marshal!, a carpenter, found small flakes of gold in the American River near Coloma, California. At the time, Marshall was working to build a water- powered sawmill for businessman John Sutter. As it happens, just days after Marshall’s discovery, the Treaty of Guadalupe Hidalgo was signed, ending the Mexican-American War and transferring California, with its mineral deposits, into the ownership of the United States. At the time, the population of the territory consisted of 6,500 Californios {people of Spanish or Mexican descent); 700 foreigners (primarily Americans); and 150,000 Native Americans. Though Marshall and Sutter tried to keep news of the discovery quiet, word got out, and by mid-March 1848 at least one newspaper was reporting that large quantities of gold were being found. Though the initial reaction in San Francisco was disbelief, storekeeper Sam Brannan set off a frenzy when he paraded through...
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