HSBC HOLDINGS Gains 2%+ at Midday; G Sachs Reiterates Buy

Minutes from the Federal Reserve meeting showed that if inflation remains above 2%, most officials support further rate hikes.HSBC HOLDINGS (00005.HK) +3.200 (+2.307%) Short selling $377.77M; Ratio 35.467% opened 3.17% higher today (21st), with an intraday peak of HKD143.5. It closed at HKD141.9 by midday, up 2.31%, with turnover of 9.5149 million shares, involving HKD1.352 billion. STANCHART (02888.HK) +4.600 (+2.323%) Short selling $6.88M; Ratio 4.592% opened 1.72% higher, hit a high of HKD204.4, and closed at HKD202.6 at midday, up 2.32%, with turnover of 490,600 shares, involving HKD99.6627 million.G Sachs published a research report stating that HSBC HOLDINGS is hosting its Asia conference, where management outlined its strategic roadmap to transform the bank into a "growth, high-return" institution. Currently, Asia contributes 51% of HSBC's deposits, 52% of revenue and 65% of profit before tax. G Sachs believes HSBC is well positioned as a "connector" between China and global markets, with Hong Kong serving as a key platform for mainland clients expanding internationally.The report noted that wealth management in Asia is a core earnings driver. Wealth assets under management in Asia reached USD1.055 trillion as of FY2025. Among customers newly onboarded to the Retail Banking and Wealth Management (RBW) business, the proportion of non-local residents increased from about 40% in FY2023 to about 80% in FY2025. At the same time, by streamlining processes through artificial intelligence, HSBC improved Know-Your-Customer (KYC) efficiency by 55%, shortened account opening time by 50%, and reduced false positives in financial crime detection by 70%.The broker maintained its positive view on HSBC, citing its role as a global liquidity engine, a scalable deposit franchise, sustained and structural growth, and a liquidity-focused balance sheet. G Sachs assigned a Buy rating on HSBC with a TP of HKD165, and set a London TP of 1,700 pence. (ad/da)(HK stocks quote is delayed for at least 15 mins.Short Selling Data as at 2026-05-20 16:25.)