According to the report, Mikel Arteta attempted to take advantage of Asensio’s uncertain squad place in the crossover between Zinedine Zidane’s exit and Carlo Ancelotti’s return to the club to bring him to North London.
However, Los Blancos immediately rejected the offer, with Asensio highlighted by Ancelotti as a key figure in his plans this season.
The two clubs did agree a deal for Martin Odegaard to return to the Emirates Stadium on a permanent transfer but Asensio now looks refreshed under Ancelotti in recent weeks.
The Spanish international netted a hat trick in the midweek 6-1 rout of Real Mallorca with his previous injury worries now seemingly behind him.
Asensio’s current deal at the Estadio Santiago Bernabeu expires in June 2023 but his positive form this season could accelerate extension talks before the end of 2021.