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Is it appropriate to say, I'm interested in both location A and location B, I'm applying for a position in your A or B office? The practice group in these 2 locations work closely, head of practice based in both locations.

Is it better to focus on just one market, and insist interest in that one market throughout application and interview?

Which has a better chance? Many thanks.

I don't think it hurts. I am involved in hiring for my office and don't have a problem with someone applying to my office and others within the firm as long as they tell me about it so I can coordinate things. And recently we made a joint offer to a lateral, for either of two offices. The offices you're looking at may have different hiring needs or may not care where you sit, but I don't see a downside to expressing interest in more than one office as long as you can explain why you're interested in both/either.

I did this once and got called out in my callback. It ended up being fine, but I was kind of caught off guard, especially because I was explaining why I wanted to be X city (city I was doing my callback).