Highkeep/Freeport Faction?

[project99toons]

Just curious, are merchants in Freeport under the Coalition of Tradefolk faction? Want to do some killing in Highkeep but NPCs give negative Coalition of Tradefolk faction. I know its for the rogue guild in Freeport, but what about the merchants? If I kill in High Keep, will it mess up my faction with the library merchants in Freeport? This is for a Mage Gnome and I would hate to screw up faction so I can't buy spells there anymore or use the bank.

Thanks!