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Press Watch: Manchester City 'close in on Gudjohnsen deal' while Kamara is reported target for Chelsea

While Chelsea's spending spree apparently has no end - as the News of the World reveals with a report that the club is stepping up its pursuit of Italian-based striker Diomansy Kamara - it seems the mega-rich Blues are ready to part with some surplus talent.

According to the Sunday Mirror, Manchester City are closing in on Chelsea's Icelandic striker Eidur Gudjohnsen and have also enquired about Dutch defender Mario Melchiot. The paper's report says City manager Kevin Keegan has decided that the Nicolas Anelka-Robbie Fowler partnership is not going to work and wants to replace Fowler with Gudjohnsen.

The News of the World says Chelsea have been in touch with Serie A club Modena about Kamara, a 22-year-old forward with dual French and Senegalese nationality, although the player's agent is said to want his client to remain in Italy to further his development.

The former Chelsea striker Sam Parkin could be on his way back to the Premiership with Southampton. The News of the World says that Saints manager Gordon Strachan is keen on Parkin, who has become a prolific scorer at Swindon Town.

Manchester United and Arsenal are said to be in competition for players at opposite ends of the scale both in price and experience. While the Sunday Express puts both in the hunt for Valencia's Roberto Ayala, the 30-year-old regarded by many as the world's best central defender, the People links them both with 16-year-old midfielder Lee Martin, currently playing for Wimbledon's under-19 and reserve teams. Ayala could set back the winning bidder up to £8m but Martin, who has yet to sign any binding agreement with Wimbledon, may not cost a penny.

Both the News of the World and Express name Birmingham manager Steve Bruce as a likely target for Newcastle if Sir Bobby Robson parts company with the Tyneside giants.

In other managerial speculation, the News of the World insists that Tottenham are still chasing Celtic manager Martin O'Neill and want to open talks with the Glasgow club this week, the People reckons Iain Dowie could quit troubled Oldham for either Stockport or Northampton, the Express believes Walsall manager Colin Lee could rival Steve Coppell for the vacant Reading job, while the Mirror reports that Brian Little has applied for both the Stockport and Tranmere posts and reckons Graham Rix has put his name forward to succeed Lawrie Sanchez at Wycombe.

The Express also claims that Bryan Robson has been interviewed by Reading but is poised to end his two years out of management by accepting the job of national coach to Nigeria.

Alan Pardew, whose resignation created the Reading vacancy, is hoping to make the Wimbledon captain Nigel Reo-Coker his first signing for West Ham, says the People, while both the News of the World and Mirror say Ian Harte can join Nottingham Forest on loan from Leeds if Forest agree to contribute £5,000 a week to his £26,000-a-week salary.