Europe markets close lower as shares of alcohol companies slide after Trump threatens 200% tariffs

This was CNBC's live blog covering European markets.

European markets closed lower Thursday as further threats from U.S. President Donald Trump pressured global trading relationships.

Wine and spirits firms Pernod Ricard, Rémy Cointreau and Davide Campari were all more than 3% lower after Trump threatened on social media to place a 200% tariff on wines, champagnes and alcoholic products coming out of France and other countries in the European Union. Trump said he was responding to the EU's own new 50% tariff on whiskey out on the U.S.

Drinks giant Diageo, owner of brands including Johnnie Walker and Guinness, was just 0.2% lower, while luxury conglomerate LVMH — parent firm of Moët & Chandon and Hennessy — closed 1.1% lower.

The pan-European Stoxx 600 ended the session 0.15% lower with sectors diverging. Autos were the biggest laggards down 1.7%, as traders continued to assess the impact of the latest U.S. tariffs as well as counter-tariffs from the European Union, Canada and beyond on the industry.

Pharma giant Novo Nordisk was among the top performers, rebounding from Tuesday losses tied to disappointing weight loss drug trial results, to trade 4% higher. Analysts at Kepler Cheuvreux on Thursday upgraded the stock to buy from hold, citing priced-in risks and expected higher sales of its Wegovy treatment.

The Stoxx 600 snapped a four-session losing streak on Wednesday amid optimism about a ceasefire in the Ukraine-Russia war and lower-than-expected U.S. inflation.

The inflation figures bolstered optimism about the direction of the economy — amid growing concerns about a U.S. recession — although economists warn that tariffs are likely to quickly lead to higher prices for consumers.

However, U.S. stocks opened lower Thursday