President Donald Trump threatened Thursday to impose a 200% tariff on alcoholic beverages imported from the European Union after the EU’s executive body unveiled retaliatory tariffs. The European Commission said Wednesday that it would impose import taxes on $28 billion worth of U.

The Dow lost more than 500 points Thursday and the Nasdaq dropped more than 300 as investors reacted to President Trump's threat to impose a 200% tariff on European Union exports of wine, champagne, and other alcoholic beverages.