BUZZ-HSBC: UBS raises PT, reiterates "buy"

** Bank HSBC's shares up 1.6 pct, near the top ofthe FTSE, after UBS analysts raise PT on stock to 535pfrom 450p, keep "buy" rating

** Analysts cut estimates to assume lower margins on UKbanks, say Standard Chartered, HSBC do best given theirbusiness mix, add lower EPS estimates are offset by weaker poundfor both banks

** UBS hikes PT on StanChart to 510p from 450p, but keeps"sell" rating, shares up 0.8 pct

** Analysts also cut Barclays to "neutral" onweaker outlook for domestic and capital market banking,increased regulatory uncertainty, shares down 0.7 pct

** HSBC shares biggest lift to Stoxx 600 Banks index, while Barclays biggest drag

(venkateshasoumithri.mamidipudi.thomsonreuters.com@reuters.net)