The broker continues to rate M&S and Next as buys. It has lowered its Next price target to 2,299p from 2,415p and M&S price target to 405p from 445p.

Following a meeting with Debenhams management, its hold rating on the stock is unchanged but the price target is cut to 75p from 81p.

N Brown remains Panmure Gordon's key general retail pick for 2010, rated buy with a 295p target price.

Analyst Jean Roche says, 'We continue to view the clothing retailers as our preferred general retail sub-sector due to the less discretionary nature of clothing spend relative to other forms of general retail spend.

'The macro outlook is slightly brighter this week following better than expected consumer confidence data last Friday and improving manufacturing PMI data yesterday.'

Story provided by Business Financial Newswire