European shares boosted by financials, carmakers

* FTSEurofirst 300 index up 1.2 percent

* Financials up; SocGen rises on retail banking, bid rumours

* Carmakers in demand after Nissan revises outlook

LONDON, Nov 4 - European shares rose on Wednesday, with financials the major gainers and carmakers in demand after Japan's Nissan revised its annual forecast to a profit from a loss and U.S. car sales rose.

By 1120 GMT, the FTSEurofirst 300 index of top European shares was up 1.2 percent at 980.32 points, rebounding from the previous session's steep losses.

The benchmark index, which is up 17.7 percent this year, has gained almost 52 percent since hitting a record low in early March.

"All the euro motor companies are good today after recent weakness and better-than-expected U.S. car sales last night," said Simon Clark, a senior trader at ETX Capital.

"There is bargain hunting in banks and Marks & Spencer reported better-than-expected updates along with Next so there is hope for the retailers."

Financials featured among the major movers, with banks adding the most points to the index. Societe Generale gained 4.7 percent, boosted by solid third-quarter performance at its French retail banking division and more bid speculation.

Barclays, Banco Santander, BNP Paribas and UBS were up 2 to 3.7 percent.

Shares in UK insurer Aviva climbed 5.6 percent, after it posted an increase in surplus capital of 3.7 billion pounds ($6.09 billion) in its third-quarter trading update as investors shrugged off a dip in sales.

CARMAKERS GAIN GROUND

Auto shares were given a boost after Nissan Motors revised its annual forecast and U.S. car sales rose on Tuesday.

Renault, which has a significant stake in Nissan was up 4.5 percent. Daimler, Fiat and Peugeot rose 2.1 to 3.9 percent.

Adding to the upbeat news, General Motors abandoned the sale of Opel to a group led by Canada's Magna, saying improving business conditions and the strategic importance of Opel had prompted the decision by its board.

Miners were supported by higher metal prices, with copper and aluminium both up 0.8 percent.

Anglo American, Antofagasta, BHP Billiton, Eurasian Natural Resources Corporation, Rio Tinto and Xstrata were up 1.8 to 3.9 percent.

"The macro data flow has been very positive over the last couple of days and I think the markets can go a bit higher from here," said Klaus Wiener, research head at Generali Investments.

Retails were performing well, with Next and Marks & Spencer up 6.2 percent and 5.9 percent, respectively after reporting positive trading updates.

Across Europe, the FTSE 100 index was 0.8 percent higher, Germany's DAX was up 1.4 percent and France's CAC 40 rose 1.6 percent.

Shares in Irish financials remained firmed after credit ratings agency Fitch downgraded the country's sovereign rating by two notches to "AA-".

Allied Irish Bank, Bank of Ireland and Irish Life and Permanent were up between 6.2 and 13.5 percent.