Analysts have warmed today to the data emerging from Western Europe's automotive market, as some industry specialists began tipping a rally in fortunes.

Himanshu Patel of JP Morgan says he expects the European automobile manufacturing sector to begin picking up in the near-term.

In a research note published this morning (October 10th), the analyst mentions that the robust German car sales in September 2003 reaffirmed the consistently improving sector.

The news follows comments from the chief executive of Volkswagen, Europe's biggest car maker, who said he expects new car registrations in Germany to rise to nearly 3.5 million in 2004.

Meanwhile, the finance chief of BMW has said he too expects a market upturn imminently.

JD Power-LMC said earlier this week that car sales across Western Europe had risen 1.7 per cent in the last month.