By Sara Sjolin, MarketWatch

LONDON (MarketWatch) -- European stock markets moved broadly lower at the open on Thursday, after the U.S. and the European Union each announced a new round of sanctions on Russia, bringing Ukraine tensions back in focus.

The Stoxx Europe 600 index slid 0.5% to 341.18, after posting the biggest one-day percentage gain since April on Wednesday.

Among notable movers in the pan-European index, shares of Sandvik AB gave up 3.3% after the Swedish engineering group reported a drop in second-quarter profit.

Bucking the negative trend, shares of SAP SE climbed 4% after the German software company raised its full-year revenue outlook for cloud applications.

Shares of ITV PLC rallied 5.9% after news that Liberty Global PLC is buying a 6.4% stake in the U.K. broadcaster for 481 million pounds ($824.18 million).

On a country level, Russia's MICEX index slumped 1.8% to 1,447.79 after the White House widened sanctions against Russia. The U.S. is restricting access to the American debt market for some Russian banks, energy companies and defense firms. Meanwhile, the EU said it would announce detailed sanctions by the end of July.

Germany's DAX 30 index fell 0.4% to 9,817.27, while France's CAC 40 index lost 0.6% to 4,341.63. The U.K.'s FTSE 100 index dropped 0.2% to 6,768.58.

Later Thursday, the final euro-zone inflation data for June will be released, forecast to confirm the 0.5% flash reading. The report is due at 10 a.m. London time, 5 a.m. Eastern Time.

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