The prospect of the US Treasury periodically investing some of its cash in private repo markets received support from market participants at a Federal Reserve Bank of New York panel on Tuesday. The proposal, first raised in May, would shift an unknown amount from the Treasury General Account (TGA), the government’s main cash account, into private repo rather than leaving it at the Fed. The TGA currently holds just under $1 trillion. Investing the funds could generate a return and support liquidity in the repo market, where participants borrow and lend cash and Treasuries to finance fixed-income trading. It would also expose public funds to private-market risk. Panelists urged the Treasury to make any operations predictable and understandable, potentially by conducting them early in the trading day or using a TGA balance threshold. The account’s volatile movements already affect banking-sector reserves, Federal Reserve liquidity management and the central bank’s still-large balance sheet. The TGA has also drawn attention as the Treasury expands debt buybacks to counter rising borrowing costs, an effort that has largely foundered. Some have speculated that TGA funds could support those buybacks, although doing so could raise questions about diverting cash needed for government operations.