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Fulham’s valuation remains in excess of what the Reds believe a tribunal would award were he to leave in the summer.

With the clock ticking on the final day of the January transfer window, Liverpool remain locked in negotiations with Fulham over the future of breakout 19-year-old attacking star Fabio Carvalho who will be out of contract at the end of the season.

Despite news going quiet in recent hours, The Times’ Paul Joyce says that the Reds haven’t given up on signing the outstanding youngster who has scored seven goals and four assists in 18 Championship appearances—good for a goal contribution every 115 minutes.

With the player out of contract in the summer, Liverpool are resistant to the idea of paying more for him now than they believe they would were they to sign him and see the case head to arbitration to determine Fulham’s compensation fee.

And, realistically, such a fee—paid now rather than an uncertain time in the future following an FA-overseen compensation tribunal—along with allowing Carvalho to remain at Craven Cottage for the season would seem to be in Fulham’s best interest.

Further, if Fulham do refuse to budge, with reports suggesting they may be demanding upwards of £15M for the player, there’s a chance he could join a club like Porto or Dortmund on the continent in the summer in exchange for six-figure compensation.

All things considered, Liverpool are right to hold a hard line on their stance. Carvalho is an undeniable talent but paying more than Liverpool believe a tribunal would award in compensation would potentially undermine them in future transfer dealings.