High street retail figures to set tone

The extent of the recovery in Britain's retail arena is likely to become apparent this week when a raft of high street names including Asos and Marks & Spencer deliver numbers to the market. Marks & Spencer's embattled executive chairman, Sir Stuart Rose, is expected to unveil disappointing  first quarter sales figures ahead of next week's crucial annual meeting.

Corporate governance advisory firms Pirc and RiskMetrics and the UK's biggest FTSE 100 shareholder, Legal & General, have re-iterated their wish for Sir Stuart to relinquish his dual role at Marks & Spencer as soon as possible. The Local Authority Pension Fund Forum has tabled a resolution calling for him to split the top jobs at the firm.

This week's most spectacular figures are likely to come when Asos, the online retailer that sells catwalk copy clothes, reveals its profits jumped by as much as 70 per cent over last year. The firm is expected to overcome the wider problems in the retail sector, with profits coming in at around £14m for the year to the end of March. Sales are expected to hit the £163m figure for the year.

The Nick Robertson-led firm recently said that its sales had grown by 80 per cent this spring as young fashion-hungry shoppers lapped up its offerings. Asos's share price has increased by 30p to 380p over the past 12 months, in marked contrast to the rest of the struggling retail arena.

Mr Robertson, whose great grandfather founded the Austin Reed menswear chain, retains a stake of nearly 13 per cent in the company.