TRENTON-Although New Jerseys' economy has shown some positive momentum, not all sectors of the economy are firing on all cylinders.

A report released by the securities division of Wells Fargo indicates the economy in New Jersey is a mixed bag, according to the Star-Ledger. On the plus side, businesses are hiring at a faster rate, home sales and apartment leasing are on the rise and the Garden State's unemployment rate has been consistently falling. However, on the down side, foreclosure rates are still stubbornly high and a mediocre real estate market continues to dampen economic growth.

"Weakness in the housing market, which is traditionally a driver of growth, has likely spilled over into other areas of the economy as well, adversely affecting household wealth, credit scores and workforce mobility," the report states.

The state's unemployment rate has dropped nearly a point in the last year to 8.7 percent in June.

"We expect New Jersey's economy to gain momentum during the second half of this year as hiring continues to ramp up and residential and commercial construction gradually regains its footing," the report states. See story in the Star-Ledger.