12 / 16  BIS central bankers' speeches  Clearly, the “servicification” of the US economy has contributed to further dampening the impact of monetary policy impulses on inflation in the short term, meaning it takes even longer to see the full effects of monetary easing.
The first is when the dealer, acting as a principal, uses repo to finance its holdings of Treasury securities or agency mortgage-backed securities, assets that generally have only modest risk weights when held as trading positions. The second is when the dealer acts as an intermediary and has a matched repo book.