According to OK Diario, the Bernabeu giants are big fans of the 18-year-old from Malaga.

Diaz scored for City against Zinedine Zidane's side during pre-season and it has now been suggested that they are exploring the possibility of signing him.

The playmaker, who is under contract until 2019, made his senior debut in the League Cup last year and is highly rated inside the club.

But now they may be facing a battle to keep hold of him if Real make a play to sign him.