Manchester City are growing confident they can land Jude Bellingham from Borussia Dortmund this summer although Real Madrid remain in the race for the midfielder's signature, sources have told ESPN.
Bellingham is among City's top targets ahead of the summer transfer window despite Dortmund not giving up hope of keeping the 19-year-old for at least one more year.
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Liverpool and Manchester United are also interested in Bellingham, but sources have told ESPN that City and Madrid remain the most likely destinations should he leave Germany at the end of the season.
Madrid are monitoring Bernardo Silva's situation at the Etihad if they miss out on Bellingham, ESPN sources said.
Silva, who is under contract until 2025, was linked with moves to Barcelona and Paris Saint-Germain last summer, and although he is happy at City, he expects to be allowed to leave if the club receive a suitable offer.
Madrid, along with United and Liverpool, are also tracking Celta Vigo midfielder Gabri Veiga.
Sources have told ESPN that Madrid are assessing options to bolster their midfield with Luka Modric turning 38 in September, although a final decision on their transfer strategy ahead of the summer window has not been made because the Spanish side also want another forward.
As well as Silva, Ilkay Gundogan could also leave City in the summer.
Gundogan will be a free agent at the end of the season unless he agrees a new contract at the Etihad and has been linked with Barcelona.
Signing at least one midfielder is City's priority but the club are also looking at bringing in a left-back with Chelsea's Ben Chilwell among the potential targets.