Indian benchmark indices closed on a positive note on Friday, after a volatile week affected by geopolitical tensions. The Bombay Stock Exchange Sensex ended 161.74 points up at a three-week high of 31,892.23, and the National Stock Exchange Nifty closed 56.50 points higher at 9,974.40.

Analysts believe that the weaker-than-expected economic growth data released on Thursday has raised hopes that the Reserve Bank of India will cut its key rates after the next Monetary Policy Committee meeting in October.

India’s Gross Domestic Product slowed to 5.7% in the first quarter of 2017 from 7.9% in the corresponding period last year. A number of sectors, especially manufacturing, saw a decline in growth, which pulled the overall figure down in the April-June quarter.

Dr Reddy’s Laboratories (9%) was the best performer on both indices. Asian Paints (3.97%), Bajaj Auto (3.92%), Tata Motors (3.74%) and Tata Steel (1.87%) were the other top gainers on the Sensex. Aurobindo Pharma (4.42%), Asian Paints (3.98%), Tata Motors (3.84%) and Bajaj Auto (3.64%) did well on the Nifty.

TCS, Bharti Airtel, Power Grid Corporation, HDFC and Wipro performed poorly on both stock exchanges. The rupee traded at 63.98 against the US dollar.