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Manufacturing Sector Growth Seen

The manufacturing sector of the U.S. economy grew in November at a slower pace than in the previous month as business executives said disruptions related to the Gulf Coast hurricanes continue to hurt delivery of some products. Some executives also expressed concerns about the impact of a slowdown in the housing industry, according to the report released Thursday based on a private group`s survey of purchasing and supply executives.

"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."

The Institute for Supply Management, which conducted the survey, said its manufacturing index was 58.1 last month, down slightly from October`s reading of 59.1. A reading above 50 indicates the sector is expanding, below 50 indicates activity is shrinking. The top industries reporting growth in November included apparel, rubber and plastics, electronic components and equipment, tobacco and textiles.