Definition
The US Treasury's primary cash balance held at the Federal Reserve. Rising TGA drains liquidity from the private sector; falling TGA injects it.
The TGA fluctuates due to government spending, tax receipts, and bond issuance. Major TGA events include debt ceiling episodes (TGA near zero) and post-resolution rebuilds ($500B+ in weeks). TGA is one term in the DLI headline spine: Fed balance sheet - TGA - ON RRP, read as a smoothed flow. A high TGA level is contractionary, but the headline rises most when the net flow is actively draining rather than from the TGA level alone. Historical range: $0-$1.8T. Typical range: $200B-$800B.