Europe Stocks Drop the Most in Five Weeks on Fed Concern

European stocks dropped the most in more than five weeks as better-than-forecast U.S. jobless claims fueled speculation the Federal Reserve will taper its bond-buying program this year.

Zurich Insurance Group AG lost 3.6 percent after second-quarter profit missed analysts’ estimates. Hennes & Mauritz AB declined the most in seven weeks as Europe’s second-biggest clothing retailer reported worse-than-expected sales. BG Group Plc, which derives 20 percent of its oil-and-gas production from Egypt, slipped 2.4 percent as the death toll from nationwide violence in the most populous Arab country climbed above 500.