Stock Market Up

In a volatile trading session two companies are making news in the stock market today (Thursday): mobile phone provider Nokia Corp. (NYSE ADR: NOK) and supermarket chain The Kroger Co. (NYSE: KR).

Nokia Corp. (NYSE ADR: NOK) struggles continue: On Thursday Nokia announced it would cut 10,000 jobs, or one out of five workers, worldwide by the end of the year. It also warned of lower-than-expected financials for the second and third quarters.

The Finnish company had been the leading cell phone maker for 14 years and just last year was the leader in smartphones. Competition from rival companies, especially in the smartphone sector, has been a driving downward force for Nokia.

"The job cuts and profit warning underline the seriousness of the challenges Nokia is facing, particularly in light of the eye-watering competition from Apple and Samsung," Ben Wood, head of research at CCS Insight, told Reuters.

Prior to this announcement Nokia stock had taken a beating, down more than 50% in the past three months and has been down more than 15% today.

The stock's performance looks even worse going back three years. In June 2009 it traded around $15 a share, and has now fallen below $2.40.

Nokia's CEO Stephen Elop hopes these cuts can turnaround the company's prospects as many investors worry about Nokia's ability to stay afloat amid their cash problems.

"These planned reductions are a difficult consequence of the intended actions we believe we must take to ensure Nokia's long-term competitive strength," Elop said in a statement.