Arsenal and Chelsea are both looking to add new signings to their respective squads in the January transfer window. The Gunners will need to sell before they can buy in order to abide by Financial Fair Play (FFP) regulations, whilst the Blues are looking to invest in Mauricio Pochettino's squad once again following a £350million summer spending spree.

Midfield is a key area Arsenal are looking at strengthening in January with Thomas Partey's injury woes continuing. Partey is set to be sidelined until the end of the year before potentially representing Ghana at the African Cup of Nations - along with Mohamed Elneny of Egypt - which will leave Mikel Arteta short of options in midfield.

Chelsea have a history of signing South American talents after already completing the signings of Andrey Santos, Angelo Gabriel and Deivid Washington in 2023. Both London rivals - along with Liverpool - are now tracking Brazilian wonderkid Gabriel Moscardo ahead of the winter transfer window.

The Blues had a €20million (£17.5million) proposal to sign Moscardo rebuffed in the summer transfer window - but could return with an improved offer in January. The 18-year-old has attracted plenty of attention in recent months, establishing himself as one of the highest-rated young midfielders in Brazil.

Barcelona are also mooted as a potential destination for the youngster, who is valued at around £26million. The Brazilian wonderkid recently provided a fresh update on his future, opening up on Chelsea's interest even more.

Speaking after a recent 1-1 draw with Atletico Minerio earlier this month, he said: "To tell you the truth, I have very little information. My father knows a few things, he prefers not to tell me so as not to influence my head too much, to end up taking a little bit of my focus here, he says: ‘Here your focus is on Corinthians’.

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"Let’s wait for the season to end, there are still a few games to go, and we’ll see what we can do. Of course, there’s interest from various clubs, I’ve also heard about it, there was strong interest from Chelsea a few months ago, but if you stop to think about where I’m going now, at this moment, it’s not good. I want to help Corinthians now to get them out of this situation."

Arsenal and Chelsea have now been handed a key advantage over Jurgen Klopp's side in the pursuit of Moscardo following an update from journalist Neil Jones. Speaking to CaughtOffside, Jones revealed that Liverpool are looking at signing a more experienced midfielder in January - with Fluminense star Andre Trindade among the potential targets for the Reds.

Discussing Moscardo's situation, Jones said: “Another young Brazilian linked with a move to Merseyside is Gabriel Moscardo of Corinthians, although my information is that both Chelsea and Arsenal have shown far more interest in the 18-year-old than Liverpool have. Liverpool, generally, do not sign first-team players directly from South America.

"Their tendency in the past has been to wait and see how a talent develops once it has moved to Europe – think of Diaz, Firmino, Fabinho, Nunez, Mac Allister and Alisson as six great examples – before making their move when the player reaches their early-mid 20s.”