Taiwan's panel makers are the day's big winners as Nvidia looks at glass substrates for its next generation of AI chips.

• AUO and Innolux both jumped to their daily price limit and became the most heavily traded stocks in Taiwan.
• AUO hit a 16-year high, with buy orders still stacked up at the limit by midday.
• The spark: reports that Nvidia is evaluating glass substrates for packaging its next AI chips, with TSMC expected to help develop the technology.
• AUO is seen as the purest play because it is working with Corning on glass core substrate technology, and has also been linked to advanced packaging tie-ups with TSMC and Intel.
• The catch: both stocks now trade at more than 50 times next year's expected profit, and AUO's earnings are forecast to fall sharply this year.

Outlook: The glass substrate story gives panel makers a growth angle beyond displays, but the technology is still years from volume use, so the rally rests on hope more than orders.