Europe shares rise but Fed's tougher tone limit gains
* FTSEurofirst 300 up 0.2 pct, Euro STOXX 50 up 0.1 pct
* Fed ends QE, which has been strong support for stocks
* Alcatel shares rise in short covering rally
By Blaise Robinson
PARIS, Oct 30 (Reuters) - European stocks were slightly higher in afternoon trading following a choppy session, taking a breather from a sharp two-week rally after the U.S. Federal Reserve sounded less dovish on policy at the end of its six-year bond-buying programme.
Company results helped lift sentiment, with Renault up 3.4 percent after the automaker posted a rise in third-quarter revenue and upgraded its European auto market growth forecast for the full year.
Dutch chip equipment maker ASM International surged 13 percent after reporting strong orders and posting quarterly results that traders said were above analyst forecast, in a sharp contrast with a recent raft of disappointing results and outlooks in the tech sector.
Alcatel-Lucent surged 15 percent after the telecoms gear maker said it squeezed out more costs to improve its gross profit margin to a better-than-expected 34 percent, sending hedge fund short sellers scrambling to unwind negative bets on the stock.
According to data from Markit, 11 percent of Alcatel's shares are out on loan, making it one of the most shorted stocks in Europe. Continuación...