Marks & Spencer boss Sir Stuart Rose today offered little comfort for rival retailers, predicting the High Street is facing much more bad news.

Unveiling a 44% slump in half-year profits to £308 million, Sir Stuart said trading in the last month was more volatile than he could ever remember.

"It is very up and down, and it is hard to get an indication of where we are going. With strange weather and what has happened in the markets, it is hard to see a pattern," he said.

The executive chairman has reined in spending on store refurbishment and is braced for further trouble, saying: "I think 2009 will be a tough year. There will be further bad news coming."

M&S held its dividend for the six months to 27 September at 8.3p, some comfort for investors who have watched the stock slide by two-thirds in the past year.

The shares today moved up 9½p to 231p, still way short of the 400p a share at which Sir Philip Green made a bid four years ago.

Freddie George at Seymour Pierce said: "We see no reason to change our sell recommendation."

Capital expenditure maintaining and improving stores has been cut to £700 million this year and £400 million next. Like-for-like sales in the UK are down 5.7% overall. The food arm remains in difficulty critics say it is overpriced.

Said Sir Stuart: "Our food is top of the tree in terms of quality. But some of our customers are feeling the pinch, and we have got to react to that."

Nick Bubb at Pali International said M&S is "certain" to cut its dividend next year, adding: "The only comment is that they remain cautious and that October was volatile. By that, we think they mean that October was mostly awful, apart from a good week last week."

Sir Stuart, who ousted food boss Steve Esom in the summer, stepped up from chief executive to chairman, a move that was attacked by some investors.