COL Financial, a leading brokerage firm, is cautiously optimistic about the Philippine stock market, expecting a bull run in 2024. The base case Philippine Stock Exchange Index (PSEi) target for the year is 7,100, with bullish targets set at 8,200 to 9,400. However, fears of a US recession are holding back the market. If risks become a reality, the PSEi could plunge to 5,800 to as low as 4,300. Despite the risks, there are several positive factors supporting the market. Inflation and interest rates have peaked, spurring consumer and investment spending. Government spending is expected to increase, and the Philippines is seen as a domestically driven economy. Additionally, Philippine stocks are currently considered cheap and underowned. However, there are still obstacles to overcome, with the PSEi facing resistance at the 6,700 level. Local investors are becoming more confident in a market rebound, and it is advised for investors to focus on defensive stocks and those that provide income through cash dividends. Keeping some cash for bargain hunting opportunities is also recommended [3cf7f18e]. COL Financial Group, Inc. has set the 7,100 level as its base projection for the Philippine Stock Exchange index (PSEi) in 2024. The projection is driven by strong economic growth projections. COL Financial Chief Equity Strategist April Lynn Lee-Tan stated that the stock market could reach levels between 8,200 and 9,400. However, the PSEi could drop to 5,800 and go as low as 4,300 if the market is affected by risks. The drivers for the PSEi's growth include slower inflation and interest rates, increased government spending, affordable and under-owned stocks, and the resilience of the country's economy. Despite the positive outlook, risks faced by the local bourse include higher inflation and interest rates, geopolitical tension, negative surprises to the government budget, and the potential impact of a possible recession in the US economy on Philippine securities. Investors are advised to focus on more defensive stocks and keep some cash to capitalize on opportunities to buy stocks at cheaper prices. The PSEi is currently working on its third downtrend line, with resistance at 6,700. On Monday, the PSEi closed at 6,630.68, while the broader all shares index closed at 3,487.71 [3bf0fefe].