Even though the initial market volatility has subsided, the U.S. financial system faces risks from the possibility that the United Kingdom’s exit from the European Union might go badly, government researchers warned Monday.

The Office of Financial Research, the new Treasury Department agency tasked with studying possible sources of financial instability, said Monday that the to-be-determined fallout from the June “Brexit” vote is one of the factors pushing up the overall level of risk to the financial system, which is medium currently.