Implied volatility gauges which measure expected swings in the pound in the coming months have risen after a battle to succeed Prime Minister Theresa May got underway.

Options markets are indicating increased jitters about the Oct. 31 deadline, with implied volatility contracts expiring after that date trading at a significant premium to those expiring earlier.

Currency markets are concerned that a new British Prime Minister would have relatively less time to negotiate another deal with the European Union which has already said it will not renegotiate a withdrawal deal before that date.