Honestly, I don't pay too much attention to the fine details of the search results page. I should, but I am not that kind of person. In any event, a couple people posted in a Search Engine Watch Forums that Google is now allowing AdWords ads to wrap.
Supposedly, before Google Instant launched the AdWords ads did not wrap and now they do. Here is a video demo of it wrapping:
And here is a video of me using Google SSL search, which is not yet AJAX driven (Instant). As you can see, no wrapping on the old version:
Interesting small distinction.
Forum discussion at Search Engine Watch Forums.