I switch both of them up periodically and through sets. Fairly limited bars that are tall enough at my gym, so I just work with what I can get, and with what my shoulder anatomy will allow. There's a theshold past which the right muscles continue being engaged, and below which not enough are. Between those, I find there's room to play around and either shoot for more upper trap engagement and scapular retraction, or lat/chest/shoulder etc.. depending on grip. I find that the grip position you mention is a little easier getting chest to bar, which has a bit of an implication for upper back engagement, especially with my shoulders that just won't get out of the way otherwise.

I tend to prefer about shoulder-width lat pulldowns, but slow ones. Somewhere between shoulder width and a right angle at the elbow.