Inflation rates are hitting higher figures, and market volatility is accordingly on the rise. Inflation rates are expected to increase sometime soon, which could lead to more instability in the equity securities market in Canada. At writing, the S&P/TSX Composite Index is up by 2.70% from its January 27 levels, after declining by over 4.6% in 10 days of trading between January 17 and January 27, 2022.

With market volatility expected to continue in the coming weeks as Omicron cases are still on the rise, dividend investing might provide a degree of stability to your investment returns.

Today, I will discuss two dividend stocks that you could consider investing in for safe dividend income to shield your investment portfolio against rising volatility.

Enbridge

Enbridge Inc. (TSX:ENB)(NYSE:ENB) is a solid pick if you are looking for dividend stocks that offer reliable shareholder dividends. Enbridge is a $109.05 billion market capitalization energy company that owns and operates an extensive network of pipelines.

The company services energy producers by providing essential energy transportation services throughout North America. Enbridge is also a Canadian Dividend Aristocrat that has an extensive history of increasing its shareholder dividends.

Enbridge stock trades for $53.74 per share at writing, and it boasts a juicy 6.40% dividend yield. The energy company put around $10 billion worth of projects into service in the first three quarters of 2021. Combined with rising energy prices, Enbridge stock could see its valuation surge in the coming weeks.

Bank of Nova Scotia

Bank of Nova Scotia (TSX:BNS)(NYSE:BNS) is another strong pick if you want to invest in a reliable dividend stock. Scotiabank is a $111.31 billion market capitalization financial institution. It is one of the Big Six banks in Canada, and it boasts an extensive dividend-paying streak. The impending interest rate hikes could benefit the company, increasing its profit margins and boosting its financials.

A broader improvement in economic activities could further boost its profits. Scotiabank stock trades for $91.56 at writing, and it boasts a juicy 4.37% dividend yield. It could be an excellent buy in the volatile environment right now to introduce some stability to your investment portfolio.

Foolish takeaway

It remains to be seen how the next few weeks will shape up for the Canadian stock market. The Canadian financial and energy sectors were the only two out of 11 industries to remain in positive territory during the downturn between January 17 and January 27, 2022. As market volatility fears continue to plague Canadian investors, these two sectors could offer the best bets for stability in the coming weeks.

Scotiabank stock is one of the top financial sector securities and Enbridge stock is a robust energy sector player. These two dividend stocks could be excellent bets to generate safe returns through shareholder dividends during volatile market environments.

The post Buy These 2 TSX Stocks for Safe Dividend Income appeared first on The Motley Fool Canada.

More reading

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• TFSA Passive Income: How to Make $300 a Month Tax Free
• Growing Passive Income: 2 Top Dividend Stocks to Buy in February

Fool contributor Adam Othman has no position in any of the stocks mentioned. The Motley Fool recommends BANK OF NOVA SCOTIA and Enbridge.