"...the funeral of Robert E Lee in March of 1871 [1] was a somber affair that yet still had the feeling, in modern terms, of the "band getting back together" one last time. At Lee Chapel on the campus of then-Washington University in Lexington, where Lee had served a quiet life as the university's president since 1865, much of the leadership of his Army of Northern Virginia gathered to pay their respects. Jefferson Davis and Alexander Stephens were in the same room as one another for the first time in years, the former at the start of a legal battle over a plantation inheritance and bankruptcy that would expend most of his financial resources and consume the remainder of his life, and the latter now a justice on the Confederate Supreme Court by appointment of President Forrest, who was also there. The most prominent speaker there was of course the great Confederate hero Thomas "Stonewall" Jackson in what was effectively his first major public appearance since the war. Lee's right hand had effectively retired to the same city, Lexington, where he oversaw the Virginia Military Institute, taught Sunday school and dined with Lee several times a week. Unlike many of his fellow veterans of the war, Jackson chose not to enter the political arena ever again, and in Lexington he was as popular a figure among the black community as the whites who revered his war exploits [2]. "And now my friend, my brother, sleeps," Jackson concluded his address. Others who would give eulogies would include James Longstreet, who had irritated some of the other ANV veterans with a "funeral banquet" for the Society of Confederate Veterans at the VMI the night before the service, and Jubal Early, now a Senator for Virginia aligned closely with the Forrest faction in Congress [3].
The President would speak last. Having served largely in the West, Lee's men did not know Forrest well and those who did disliked his brusque ways intensely. Lee's funeral would mark a turning point for Forrest, who had grown increasingly bored and irritated with the office of the Presidency. In later years, it would be revealed that his Tennessee Clique and Klan organization had run patronage schemes in Richmond that would make Northerners like Roscoe Conkling or William Tweed blush - every customs house was headed by a Klansmen, essentially, and the money all flowed upstream to a man who was already among the Confederacy's richest. But Forrest, who seldom drank and did not smoke and was a self-made man, was not well at home among the aristocratic Confederate Congress, where his Kuklos Klan candidates had made little penetration outside of Kentucky or native Tennessee. Hosting parties at the Gray House (the new nickname for the Confederacy's executive residence, due to its color and the color of the Confederate uniform) tired him, and legislation in the Confederate Congress was rare and far between. The fiscal situation had only somewhat improved by the halfway point of his Presidency, and the Panic of 1870 had dried up much of the capital for what limited internal improvements the Confederacy would see from overseas for a few years [4]. Despite this, the Confederate economy at the midpoint of the six-year term was decent - cotton and other agricultural goods were selling in Europe and the United States despite a fairly punitive tariff in the North passed by the Republican Congress, improvements had been made to ports in New Orleans and Savannah, and expansion westwards into the wild, untamed lands of Texas was continuing slowly apace despite the lack of rail infrastructure. Forrest was intrigued by a proposal to build the Confederacy its own transcontinental railroad, but several proposals were competing and it would have required passing through Mexico to the port of Guaymas, which several "circlers [5]" with Forrest's ear began proposing the Confederacy purchase or even conquer, which Secretary of State Harris sharply warned Forrest was unlikely to be accepted by the court in Mexico City.
It was in this time, in the spring of 1871, frustrated and seeking a new challenge, that news arrived in Richmond from their envoys in Madrid that the Spanish government was preparing to take the step of abolishing slavery in their three Caribbean colonies forever and find a policy of rapprochement with rebels in Cuba and Santo Domingo..."
- The Wizard of the Saddle: The Life of Nathan Forrest
[1] War ending earlier, and not as bad of a result, gives Lee a few more months of life
[2] Essentially Jackson goes back to his prewar life. He was a fairly meek figure off the battlefield, by all accounts
[3] And yes these two still hate each other
[4] My theory is that the Long Depression would have had a much more muted effect in the Confederacy (while still being pretty bad) since the CSA is already poor and ag/export reliant and the markets they export to haven't stopped needing those exports, whereas it was the industries being furnished in the United States that were the direct cause and victims of the crash. Also, due to the lack of protectionist lobby in the CSA, they don't limit themselves economically with tariffs and thus remain fairly open to cheap industrial goods
[5] Knights of the Golden Circle nickname