Arsenal are reportedly still locked in talks with Real Madrid over the future of Dani Ceballos.

The 24-year-old spent the 2019-20 campaign on loan with the Gunners, contributing two goals and two assists in 37 appearances in all competitions for Mikel Arteta's side, who ended their season by winning the FA Cup.

A recent report claimed that Zinedine Zidane's team were considering keeping hold of Ceballos this summer as the Spanish giants are not expected to be active in the transfer market.

However, according to Sky Sports News, the Spain international is keen on spending another year with Arsenal and 'talks are ongoing' between the Premier League side and Madrid over a loan deal.

Ceballos could allegedly link up with Madrid as they begin their preparations for the 2020-21 campaign, but a return to the Emirates Stadium is seemingly on the cards.

The former Real Betis youngster has a contract at the Bernabeu until June 2023.