Arsenal face Bournemouth at the Vitality Stadium on Sunday afternoon, but Sanchez has not travelled with the squad despite no reported fitness issues.
This prompted City to drop their interest in a January move for the Arsenal forward with the intention on gambling on Sanchez turning United down and waiting until the summer to make the switch to Eastlands for free at the end of his Arsenal contract.
Sanchez was subject to a £20M enquiry from Man City earlier in the transfer window, but Arsenal will not sell to a Premier League club for less than £35M. "They don't have a problem about money or investment and I think it's a good investment because we are talking about a top player".
Manager Antonio Conte has confirmed that the Premier League champions will not be taking part in the transfer battle to sign Arsenal's Alexis Sanchez. One thing is for certain, whoever comes in will have big shoes to fill, and he would certainly cost more than anything Arsenal may get for Sanchez.
Mourinho's United are understood to have thrown their hat into the ring, bidding around £25 million to trump City's £20 million offer as they seek to bolster their attacking options and deny their bitter rivals.
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Romelu Lukaku has taken over the lead striker role from the 36-year-old and while the likes of Marcus Rashford and Anthony Martial haven't been entrusted with relieving the Belgian too often but should United land Sanchez, he may finally be afforded more of a rest.
Chelsea boss Antonio Conte has spoken of his admiration for Arsenal forward Alexis Sanchez, who he almost signed while managing Juventus. "No, because if City want Sanchez, they buy Sanchez", said the Italian.
The Premier League leaders have always been linked with signing the Chilean forward, and had a reported £60m offer for him accepted by Arsenal on deadline day last summer. "And I don't want this to sound bad towards Everton; they could be like Everton".
The Potters away form will be a concern for the players and fans alike, with no wins in their last seven on the road and Stoke sat in the bottom three going into the clash at Old Trafford. "Maybe you ask Arsenal, they decide his future".
Manchester United and Tottenham were also interested in the young Brazilian but have since turned their heads to other transfer targets namely Alexis Sanchez and Ryan Sessegnon.