host works, dig doesn't - BIND 9.3.2 puzzle

[listscribbler]

After upgrading from BIND8 to BIND9.3.2 on a Debian testing system
which serves a home network, I've been plagued with problems. The
BIND9.3.2 configuation appears to be correct, and forwards to my
ISP's nameservers. named-checkconf and named-checkzone give clean
reports. I've installed the resolvconf package.

/etc/resolv.conf:
nameserver 127.0.0.1
search emsquirt.com

/etc/nsswitch.conf:
...
hosts:          files dns
...

Here's the puzzle:
***host resolves local names as expected:
markj at redhorse:~$ host redhorse       
redhorse.emsquirt.com has address 192.168.0.1

***dig resolves the fully qualified host name:
markj at redhorse:~$ dig @127.0.0.1 redhorse.emsquirt.com +short
192.168.0.1

***dig resolves the address:
markj at redhorse:~$ dig @127.0.0.1 -x 192.168.0.1 +short
redhorse.emsquirt.com.

***dig fails for the unqualified name:
markj at redhorse:~$ dig redhorse

; <<>> DiG 9.3.2 <<>> redhorse
;; global options:  printcmd
;; Got answer:
;; ->>HEADER<<- opcode: QUERY, status: NXDOMAIN, id: 29847
;; flags: qr rd ra; QUERY: 1, ANSWER: 0, AUTHORITY: 1, ADDITIONAL: 0

;; QUESTION SECTION:
;redhorse.                      IN      A

;; AUTHORITY SECTION:
.                       1721    IN      SOA     A.ROOT-SERVERS.NET. NSTLD.VERISIGN-GRS.COM. 2006081000 1800 900 604800 86400

;; Query time: 6 msec
;; SERVER: 127.0.0.1#53(127.0.0.1)
;; WHEN: Thu Aug 10 11:20:30 2006
;; MSG SIZE  rcvd: 101


What am I missing? TIA!


-- 

Mark
listscribbler at earthlink.net