Blue-chips boosted by Fed hopes "The Fed is expected to provide an early gift for investors, extending purchases of mortgage-backed debt and overhauling Operation Twist so that it involves additional expansion of the Fed's balance sheet," said Chris Beauchamp, a market analyst at IG. Anglo American was a strong riser on the benchmark index after Barclays lifted its recommendation to "equal weight" from "underweight." Analysts at the bank suggested the miner should "unbundle" its South African division, Anglo American Platinum, which has been hit by strike action this year. "We believe the company could address its significant sum-of-the-parts discount by unbundling Amplats," Barclays said. Crucially, it would free the company from the political/industrial action issues of deep underground mining in South Africa, and could immediately set the business up as a potential takeover target. Shares in Anglo American advanced 1.9pc in early trade. On the mid-cap index, engineer Senior booked one of the biggest gains after the group reassured investors it would meet expectations for full-year pre-tax profits. "We remain encouraged by the robust performance of Senior in what are difficult markets across all areas, with the exception of large commercial aerospace," said Shore Capital analyst David O'Brien, who has a "hold" recommendation on the stock. Senior shares gained 3.3pc.