"The region will add 100,000 jobs in 2005 for a growth rate of 2.8 percent, or almost twice that of the nation," Goss said. "While the November employment reading was solid, the trend in the readings has been downward since midyear. As a result, I expect job growth for the near term to be positive but lower than experienced over the first three quarters of 2005."

Goss noted that the region's food processing industry continues to suffer. Colorado lost 900 jobs in that industry during the past two years, while Utah lost 800.

The top industries reporting growth in the national ISM survey in November included apparel, rubber and plastics, electronic components and equipment, tobacco and textiles.

"The hurricanes along the Gulf Coast are still impacting the supply and delivery of some products and materials," according to respondents in the chemicals industry. At the same time, the report said business executives involved with industrial and commercial equipment and computers were "concerned that business will be slowing due to a housing decline."

Economists have said the fortunes of the housing industry — builders and mortgage lenders — are closely linked to those of a broad range of businesses.

"Among manufacturers some have been relying on a strong housing market. It is appropriate to be concerned that housing will not be as strong in the quarters ahead as it was through much of 2005," said Gerald Zukowski, deputy chief economist at Nomura Securities.

Zukowski said the benefits of a strong housing market have been widespread and cited furniture and appliance makers as examples of industries that benefited from the housing boon.

"Furniture manufacturers will clearly be nervous with the potential (of) slowing in the housing sector," Zukowski said.

For those business executives surveyed by ISM in transportation and equipment industries "the hurricanes destroyed many trucks (which resulted in) extra business."

"There are still some supply disruptions related to the hurricanes, but it looks like there is a dent being made in alleviating these supply disruptions," said Zukowski.

The ISM's new orders index, a gauge of future demand, dropped to 59.8 from 61.7, while its employment index rose to 56.6 from 55.0.

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E-mail: bwallace@desnews.com