Charter Communications’ $55B Deal for Time Warner Cable

It was a bad first day for the markets following the holiday weekend. All three major indices closed the day lower, with the S&P 500 and Nasdaq seeing their biggest drop since May 5, and the Dow seeing its biggest drop this month.

The selloff was broad based with all 10 S&P sectors ending in the red, led by energy. It was the first time since May 11 that all 10 sectors ended lower.

As the markets moved lower, the “fear gauge” Vix finished up 15.91%. Tuesday was its largest one-day jump since January 28.

And in a deal that would create the nation’s third largest pay-TV service, Charter is looking to acquire Time Warner Cable in a $55.1 billion deal. The combined cable company would have 23 million total subscribers. This comes after Comcast recently abandoned its plans to buy Time Warner Cable amid regulators’ opposition.

The IRS says thieves stole tax information from 100,000 Americans. The information included tax returns and other tax information on file with the IRS. The agency said it is notifying taxpayers whose information was compromised.

And TiVo beat on earnings after the bell Tuesday. The stock is now up more than 4% in after-hours trading. The company reported adding  121,000 subscribers, ending the quarter with more than 5.8 million subscriptions, up 27% from a year ago.