The pan-European STOXX 600 index edged higher 0.6% by 0716 GMT, with banks up 1.4% to lead sectoral gains.
Wall Street ended a seesaw session higher on Monday as the U.S. benchmark 10-year Treasury yield hit 3% for the first time since December 2018 ahead of a Federal Reserve meeting this week, where policymakers are expected to announce a 50 basis point rate hike. German bond yields also hit fresh peaks.