Core Viewpoint - Morgan Stanley maintains an "overweight" rating for both HSBC Holdings (00005) and Standard Chartered (02888), with a preference for Standard Chartered in the six-month investment outlook [1] Group 1: Target Prices and Ratings - HSBC's target price is maintained at HKD 122, while Standard Chartered's target price is raised from HKD 162 to HKD 168 [1] Group 2: Short-term Impact and Performance - The planned privatization of Hang Seng Bank (00011) has already been reflected in HSBC's stock price, and investors may refrain from factoring in long-term synergies until more quantitative guidance is provided by management [1] - The third-quarter performance will be a key driver for short-term stock prices, with trading fees and credit costs related to Hong Kong commercial real estate being critical variables [1] Group 3: Market Reactions and Opportunities - On October 17, Standard Chartered's stock fell by 5.1%, underperforming the Hang Seng Index and HSBC by 2.6 and 3.1 percentage points, respectively, likely due to investor risk aversion stemming from U.S. credit risk events [1] - The company views any further stock price adjustments as a buying opportunity, given Standard Chartered's limited direct exposure to the U.S. market and its strengthened risk management measures in recent years [1] - Financial market volatility may positively impact Standard Chartered's market revenue in the fourth quarter [1]