Arsenal boss Arsene Wenger has admitted he expects Jamie Vardy to stay at Leicester.
The Frenchman appears ready for defeat in his chase for the striker after the Gunners triggered his ?20million release clause.
Vardy is currently with England at Euro 2016 and scored in their 2-1 win over Wales on Thursday. He has insisted he would not make a decision on his future until after England's involvement in France ended.
But Wenger, in an interview with Chinese TV, said he believes the 28-year-old is ready to remain loyal to last season's shock Premier League champions.
He said: "Jamie Vardy is, at the moment, at Leicester and from what I know, he will stay at Leicester."
Leicester made a counter offer to Vardy, who only signed his most recent contract until 2019 in February, to try to convince him to stay at the King Power Stadium, although Press Association Sport understands they could not match Arsenal's deal.
Vardy scored 24 goals last season as the Foxes won the title by 10 points after being 5,000-1 to win the league at the start of the season.
They are trying to strengthen their forward line and Watford have rejected a bid in excess of ?15million for Troy Deeney.
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