European markets fall amid jitters over U.S. economy; British Airways owner IAG down 4.8% after investment fund launch

European markets traded lower on Tuesday as global markets buckle amid anxiety that the U.S. economy will suffer because of President Donald Trump’s trade tariff policies.

The pan-European Stoxx 600 index lost 0.36% at 11:41 a.m. in London, with the U.K.’s FTSE 100 trading down 0.2% to lead regional losses. France’s CAC 40 was little changed, while German DAX index was up by around 0.3%.

Most sectors were in negative territory during late morning deals, with travel and leisure stocks sustaining the biggest losses across regional industries.

The Stoxx Europe 600 Travel & Leisure index shed around 2.3% by 11:41 a.m. London time, with shares of British Airways owner International Airlines Group down by 4.8%. It came after the company on Monday announced the launch an corporate investment arm that would funnel up to 200 million euros ($218 million) into “high-potential companies shaping the future of aviation.”

Healthcare stocks were also in negative territory, after Danish pharmaceutical giant Novo Nordisk’s latest weight loss drug trial results. The pharma giant was down around 1.6%, while Swiss pharma company Novartis shed 3.7%.

Elsewhere, Volkswagen reported a 15% year-on-year drop in annual operating profit on Tuesday, citing an increase in costs and “extraordinary expenses” in regards to its restructuring plans. The company’s shares were last seen trading around 1.4% higher.