In a recent development, China's financial data for October has revealed a surprisingly positive economic trend. Key financial indicators have demonstrated significant growth: social financing surged to 910.8 billion yuan, year-on-year increase in RMB loans by 105.8 billion yuan, a 10.3% rise in M2, and a 1.9% growth in M1. This robust financial performance has enlivened market sentiment, with a noticeable positive impact on metal prices, particularly aluminum.

Aluminum prices have been particularly notable in their performance. After an initial dip, there's a growing sentiment for price support in the spot market. Factors such as the improving macroeconomic environment, both domestically and internationally, and a declining US dollar index, have all contributed to a potential oversold rebound in aluminum prices.

From a supply and demand perspective, the approaching winter could impact aluminum demand. However, market concerns about future demand have been mitigated, as previous price adjustments had already accounted for expected demand declines. On the supply side, positive developments are emerging: several electrolytic aluminum manufacturers have started reducing production due to profit compression and power rationing, which is likely to alleviate market supply pressures.

Technically, aluminum prices have shown signs of bottoming out recently, indicating a gradual recovery in market sentiment. This suggests a shift in investors' expectations and points towards a potential short-term oversold rebound in aluminum prices.

Overall, the strong performance of China's financial data in October and the subsequent rebound in aluminum prices offer optimistic signals to the market. Given these developments, spot aluminum prices are expected to rise. Nevertheless, investors are advised to stay attuned to market dynamics and exercise caution to navigate potential risks and changes effectively.