Knopp, in his (now classic) book on infinite series, introduces these ideas in Chapter XIII. In the introductory pages of that chapter, he writes that Euler used the following (quoting here, in my copy this is from pags 457-458).
in our exposition, the symbol for infinite sequences was created and then worked with; it was not so originally, these sequences were there, and the question was what could be done with them.
On this account, problems of convergence in the modern sense were at first remote from the minds of the mathematicians. Thus it is not to be wondered at that Euler, for instance, uses the geometric series
<br />
1 + x + x^2 + \dots = \frac 1{1-x}<br />
even for x = -1 or x = -2, so that he unhesitatingly wrote
<br />
1 -1 + 1 - 1 + \dots = \frac 1 2<br />
or
<br />
1 - 2 + 2^2 - 2^3 + \dots = \frac 1 3<br />
Similarly, from
\left(\frac 1 {1-x} \right)^2 = 1 + 2x + 3x^2 + \dots
he deduced the relation
<br />
1 -2 + 3 - 4 + \dots = \frac 1 4<br />
and a great deal more. It is true that most mathematicians of those times held themselves aloof from such results in instinctive mistrust, and recognized only those that are true in the modern sense. But they had no clear insight into the reasons why one type of result should be admitted and not the other.
***********A short jump in quote - the following is still on page 458.
It is clear that the convention has no precise basis. Even though, for instance, the series 1 - 1 + 1 - 1 + \dots results in a very simple manner from the division {1}/{(1-x)} for x = -1 (see above), and thus should be equated to \frac 1 2, there is no reason why the same series should not result from quite different expressions and why, in view of those other methods of obtaining it, it should not be given a different value. The above series may actually be obtained, for x = 0, from the function f(x) represented for every x > 0 by the Dirichelet series
<br />
f(x) = \sum_{n=1}^\infty {\frac{(-1)^{n-1}}{n^x}} = 1 - \frac 1 {2^x} + \frac 1 {3^x} - \frac 1 {4^x} + \dots <br />
or from
<br />
\frac{1+x}{1 +x + x^2} = \frac{1-x^2}{1-x^3} = 1 - x^2 + x^3 - x^5 + x^6 - x^8 + \dots <br />
by putting x = 1. In view of this latter method of deduction, we should have to take 1 - 1 + \dots = \frac 2 3, and in the case of the former there is no immediate evidence what value f(0) may have; it need not at any rate be + \frac 1 2.
******************End of quotations
Knopp uses this discussion as a launching platform for his introduction and discussion of various issues of summation, divergent series, asymptotic series, and applications. It is an interesting, and enlightening, read.