During a raucous Independence Day celebration, downtown Winona catches fire. Hannibal Choate keeps members of the fire department near his store by supplying them with whiskey, and his business is the only one saved.
The first settler-colonists from Iceland arrive in Lyon County, having traveled by oxcart from Iowa. Their leader, Gunnlaugur Petursson, sets up camp near present-day Minneota.
The Minneapolis Journal is the first American newspaper to use halftones, black-and-white illustrations in which gradations of light and dark are created by dots photographed through a screen.
A giant windstorm causes heavy damage to the Boundary Waters Canoe Area Wilderness. The 100-mile-per-hour winds blow down trees on a ten- to twelve-mile front for a stretch of thirty miles. One person is killed.
Police and striking workers (most of them gas- and water-system maintenance crews) clash in Duluth. Police mortally wound four workers before Mayor John B. Sutphin sends in the militia and empties the streets.
The comedy, music, and variety show A Prairie Home Companion makes its first live broadcast from Macalester College in St. Paul. The show's first national broadcast followed nearly four years later, in February 1978.
130 gold miners, including a group from St. Paul led by James L. Fisk, set out on oxcarts from Fort Abercrombie on the Red River for the Montana gold fields. The federal government encouraged the expedition in an effort to find gold to finance the Civil War.
Stillwater lumbermen descend the St. Croix River at Hudson, Wisconsin, just after dawn to remove wooden pilings underneath a bridge. Although the pilings support the bridge, they are blocking navigation along the river. Lumber companies in Stillwater had obtained a court injunction requiring a 200-foot clearance between the pilings to allow timber rafts to float through, but workers building the bridge had ignored the order. The lumberjacks return to Stillwater with about 100 pilings, and the event becomes known as the "Battle of the Piles."
The federal government and the Red Lake Ojibwe sign a treaty that cedes 2,905,000 "surplus" acres from the reservation. Rather than distributing the remaining reservation land to individual tribe members as allotments, this treaty allows the Red Lake Ojibwe to hold the land in common, thereby protecting it from piecemeal sale.
Major Stephen H. Long leaves Fort St. Anthony (later called Fort Snelling) to explore areas of present-day Minnesota then unknown to the United States. Giacomo C. Beltrami joins Long as he travels up the Minnesota River and then down the Red River to Lake Winnipeg.
Lewis Cass, territorial governor of Michigan, forbids the sale of liquor on Native American lands under his control, including the area around Fort Snelling.
The National Afro-American Council, a precursor to the NAACP, holds a meeting at the state capitol, and business, social, education, and religious leaders discuss strategies for improving the position of African Americans nationwide.
Carl F. Hirte sets up a homestead claim in the middle of St. Paul's Union Depot rail yard. Hirte had discovered that a nearly five-acre tract in the middle of the yard had never been claimed, and, in accordance with the Homestead Act, he builds a shack for housing. His attorney values the land at $1,000,000.