FTSE up midday, led by banks and miners

* FTSE 100 rises 1.4 pct

* Beaten-down banks rebound after Fed boosts sentiment

* Gold rises on Iran missile test, boosting miners

By Dominic Lau

LONDON, July 9 (Reuters) - Britain's top share index was up 1.4 percent by midday on Wednesday, as beaten-down banks rebounded on positive comments from the U.S. Federal Reserve chairman, while miners tracked higher metal prices.

By 1032 GMT, the FTSE 100 .FTSE was up 74.4 points at 5,514.9 after falling 1.3 percent on Tuesday. The UK benchmark index has fallen 14.6 percent so far this year, and against that backdrop some analysts were unimpressed by Wednesday's rise.

"Equity markets are reacting to the likelihood of recession. The U.S. economy is verging on recession and, as for the UK, a recession may be under way already," said Mike Lenhoff, chief market strategist at Brewin Dolphin.

"Interest rates and oil prices need to come down before confidence in equity markets returns," he said, cutting his year-end target for the FTSE 100 to 6,200 from 7,200.