The OMXS30 index, which lists the most traded shares, rose 2.7 percent, while the broad OMXS index increased 2.3 percent. This recovered some of Monday's decline of 4.8 percent.
A good start was reinforced by a statement from US President Donald Trump, who said he was "waiting for a call from China and it will happen". Additionally, Trump stated that he had spoken with the President of South Korea and expected the two countries to reach an agreement.
All companies in the OMXS30 closed on a plus. In addition to the surge for Saab, whose sales are expected to increase significantly according to a market analysis by bank SEB, heat pump manufacturer Nibe rose 5.6 percent and automation company ABB 4.7 percent. They were two of several industrial companies that rose after having fallen sharply in recent days.
Investment company Industrivärden, which released quarterly figures in the morning, increased 0.6 percent.
The krona strengthened against both the dollar and the euro. One dollar cost 10.01 kronor at the close of the stock exchange, and one euro 10.93 kronor.
In Frankfurt, London, and Paris, the leading stock exchange indices rose by nearly 3 percent.
