Taiwan's stock market jumped to its highest close in two months after Nvidia said it would put billions into MediaTek, good news for chip investors.

• Nvidia is buying most of a record MediaTek bond sale, deepening a partnership between the two chipmakers.
• MediaTek stock hit its daily limit, up 10%, and dragged the rest of Taiwan's chip designers up with it.
• The AI trade is spreading: TSMC, Hon Hai, and chip packaging and testing firms all rose.
• The rally was strong enough to shake off overnight losses on Wall Street caused by an oil price spike tied to Middle East tensions.
• Circuit board maker Unimicron kept falling as prosecutors look into claims it relabeled China-made goods as Taiwanese.

Outlook: If foreign money keeps flowing in, the Taiex could soon test its record high from late June.