August has been a rough month, with major indices like the S&P 500, Dow Jones Industrial, and Nasdaq Composite seeing their biggest drops in nearly two years. Many agree that the epicenter of this “financial meltdown” was due to the unwinding of a Japanese carry trade that crashed the Nikkei 225 Index - the worst single-day drop in its history. The sell-off was so bad that it triggered circuit breakers and cut the trading day early.
Two weeks later, investors are still nervous. Some, are buying, while others are staying and waiting for signs of recovery, bringing prices to a standstill. Others, like myself, are taking profits from our biggest gainers and using that capital to open new positions that are now “cheap.” For bargain hunters like me, the current market dip presents an excellent opportunity to bolster dividend incomes at reasonably lower prices.
