August is over - Worst Month for Dow but decline may continue until September

August is over, but the stock decline continues as it went down again Monday.

The Dow Jones Industrial Average dropped more than 1,100 points, which is a 6.6% fall. That is considered the biggest drop in percentage for this 30 stock collection since May 2010's 8% plunge.

Meanwhile, the S&P 500 index slid 6.3% in August, this is the worst it has been since May 2012's 6.3% drop. The major reasons for August's decline is the dear brought by China's economic slowdown, plummeting oil prices, and anxiety over the possibility that the Federal Reserve might impose an interest rate hike.

The bad weather in the stock market may continue up to September, which is the worst month for stocks based on history.

This, however, does not look like a start of a bear market that happened in 2000 and 2008. Last week, the S&P 500 dropped into correction territory, down to 12.5% from its peak in May. The last time it experienced a 10% decline was in 2011.

It may be out of the correction territory, but it is still below its record high by 8%. The Dow was down 10%. During the height of the market chaos Monday, it was 16% below its peak.

TIAA-CRED Asset Management chief investment officer William Riegel said Friday that he believes the market "may have found its footing." Last week, there were many investors who sold off stocks and bonds to collect money. That cash could have been used to hunt for stocks after the current market fears recede. But the correction is not yet over.

Riegel expects more volatility ahead. Worries around China's economy have not yet diminished. Besides those issues, there are also issues of poor forecast for corporate earnings. The strong dollar is one of the major reasons why many multinational firms aren't doing so well. Earnings aren't going to be better soon, according to analysts.