Wednesday saw A-share trading volumes shrink as tech stocks gave back early gains, yet the optical module segment stayed notably active. Investor attention shifted toward high-optical-index positioning opportunities, with the ChiNext AI ETF HuaBao (159363) seeing elevated on-exchange trading activity.

Among individual names, optical fiber leader Zhaolong Interconnect hit the 20% daily limit intraday before closing up 14.72%, while Zhishang Technology added over 3% and Kingsignal Technology rose more than 2%. Changxin Borchuang and Optowide Technologies each gained over 1%, with Zhongji Innolight closing higher on turnover surpassing 18 billion yuan.

Where the momentum is building

The rally follows a wave of bullish AI hardware developments: Qualcomm has struck a data center chip partnership with Amazon; momentum continues to build around OpenAI's Astra model released last week; and Corning has signed a multi-year fiber supply agreement worth billions of dollars with a major U.S. telecom operator.

On fundamentals, Goldman Sachs has raised its optical module shipment forecasts across the board. The bank lifted its 2026-2028 projections for 1.6T-and-above shipments by 29%, 61%, and 50% respectively, citing ongoing product mix upgrades. The research note strikes a constructive tone on optical module growth, underpinned by rising demand from AI infrastructure spending, a shift toward higher-speed transmission (800G/1.6T/3.2T), and rising optical component penetration as server port speeds accelerate.

Industry event highlights technology shift

On the industry front, the 27th Optoelectronics Expo opened in Shenzhen today, marking 2026 as the first mass-production year for 1.6T optical modules. Leading players are debuting new products, while 3.2T units accelerate customer sampling. LightCounting projects the 3.2T market will reach $12 billion by 2030. CPO/NPO and other advanced interconnect architectures have become the central focus, with the supply chain displaying a four-fold convergence of robust demand, constrained supply, rapid technological iteration, and domestic substitution.

Outlook from the sell-side

Looking ahead, CSC Financial research suggests that as overseas cloud vendors continue expanding AI infrastructure investment, computing power demand remains in a rapid growth phase, with capital expenditure increasingly flowing into chips, optical modules, switches, and PCBs. The firm stays constructive on the sustained momentum of the AI computing supply chain, recommending focus on core segments and leaders with strong earnings delivery and rising market share.

For investors seeking exposure to the high-optical theme alongside AI applications, the ChiNext AI ETF HuaBao (159363) and its off-exchange feeder funds (Class A 023407, Class C 023408) are worth monitoring, with emphasis on optical module and CPO leaders. The underlying index holds over 35% combined weight in Zhongji Innolight, Eoptolink Technology, and Tianfu Communication, positioning it as a core barometer for AI computing power leadership.

Data sources include the Shenzhen and Shanghai exchanges and Wind. As of August 31, 2026, the top three constituents of the ChiNext AI Index per Guozheng Index are Eoptolink Technology (12.61%), Zhongji Innolight (11.99%), and Tianfu Communication (10.25%). Institutional views reference CSC Financial's report on sustained AI computing chain momentum.

Risk reminders

Recent market volatility may be significant, and short-term gains or losses do not predict future performance. Investors should make informed decisions based on their own capital positions and risk tolerance, with careful attention to position sizing and risk management. For the ETF, subscription and redemption agents may charge commissions up to 0.5%; on-exchange trading fees follow actual brokerage charges, with no sales service fee applied. For the feeder funds, Class C carries no subscription fee, a 1.5% redemption fee within 7 days, 0% thereafter, and a 0.3% annual sales service fee. Class A charges a 1% subscription fee below 1 million yuan, 0.6% from 1 million to 2 million yuan, and 1,000 yuan per transaction at 2 million yuan and above; redemption fees mirror Class C, with no sales service fee. The ChiNext AI ETF HuaBao is rated R4 (medium-high risk), suitable for aggressive (C4) and above investors; suitability matching opinions should follow sales institution guidance.

The ETF passively tracks the ChiNext AI Index, with a base date of December 28, 2018, and a publish date of July 11, 2024. Index annual returns for 2021-2025 were 17.57%, -34.52%, 47.83%, 38.44%, and 106.35%, with corresponding annualized volatility of 23.73%, 27.34%, 38.02%, 45.42%, and 41.1%. Index constituent composition adjusts per index rules, and backtested performance does not indicate future results. Constituent stocks shown are illustrative only and do not constitute investment advice or reflect fund holdings or trading activity. Any information presented herein is for reference only, and investors bear full responsibility for their own investment decisions. Any views, analysis, or forecasts herein do not constitute investment advice, and no liability is assumed for direct or indirect losses arising from use of this content. Fund investing carries risks; past performance does not guarantee future results, and performance of other funds managed by the same manager does not guarantee this fund's performance. Invest with caution.