Credit Suisse FX Chief Says He ‘Didn’t Love’ Trader Chat Rooms

A former head of Credit Suisse Group AG’s foreign-exchange business told jurors he “didn’t love it” when his traders participated in chat rooms with other banks, because of the inherent risk of communicating with competitors.

“But I realized it was valuable.”

Steve Yanez testified Friday in a class-action trial of a lawsuit by investors who allege the bank used online chat rooms to fix the bid-ask spreads for currency trades with other big banks, resulting in greater profits. While the chats posed some risk, they were a useful tool for market transparency, gauging liquidity and gathering market “color,” Yanez …