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By 0713 GMT, the pan-European STOXX 600 fell 0.5%, touching an over one-month low.
BAE Systems (LON:BAES) slumped 3.2% after Britain’s largest defence company said it agreed to buy Ball Corp’s aerospace assets for about $5.55 billion in cash.
Europe’s aerospace and defence sector fell 1.2%.
Wall Street futures were mixed after markets closed lower on Wednesday as minutes showed Fed officials were divided over the need for more interest rate hikes.
Bond yields across Europe jumped, with sharp rises in Italy and Germany pressuring equities.
Aegon (NYSE:AEG) slumped 4.7% after the Dutch insurer reported first-half results.
Stocks in Norway fell 0.6% ahead of the nation’s central bank decision on interest rates.
