Liverpool Transfer News: Isco Reacts to Reds Rumours, Latest on Gonzalo Higuain

Rumoured Liverpool target Isco has confirmed he is "very happy" at Real Madrid, despite the arrival of James Rodriguez limiting his playing time.

Brendan Rodgers has been linked with a move for the Spaniard since before Rodriguez secured his big-money move from Monaco, per Pete Jenson of the Daily Mail. Despite starting just two of Madrid's six La Liga games so far this season, Isco has made it clear he is prepared to be a squad player.

"Like all players, I want to play but I am ready to be in the team whenever the coach wants," said Isco, reported by Anthony Chapman of the Express. "I'm playing very little and hope to play more. Last year was amazing, winning titles, and I am very happy at Real Madrid."

When asked if he and Rodriguez can co-exist in the same squad, Isco also replied in positive fashion. "We are compatible. He is a quality player and I have not had any problems with him. James is helping us a lot," said the former Malaga star, per Chapman's article.

Carlo Ancelotti has a wealth of offensive talent at his disposal and is constantly trying to ensure his midfield trio remains balanced in order to fully harness the attacking capabilities of his squad. Isco is someone who can play alongside Toni Kroos and Luka Modric now Xabi Alonso has joined Real Madrid, but his creative abilities are somewhat quelled when he isn't able to satisfy his natural desire to burst forward.

The 22-year-old has three assists this season and put in a memorable performance from the bench against Deportivo La Coruna. Isco was afforded greater attacking freedom in the eventual 8-2 win, in which he confidently set up two of the goals during a 19-minute appearance.

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Ancelotti summed up the difficulty of having such a talented player in a squad crammed with world-class players, per Dermot Corrigan of ESPN FC:

Isco could be provided with a supporting role behind Daniel Sturridge and Mario Balotelli at Liverpool. While Raheem Sterling is sometimes pushed through the centre, Adam Lallana looks to be the man Rodgers has settled on to dictate play in the pocket behind the front line. He has done so with mixed results so far and needs to find some consistent quality to halt any doubts over his £25 million fee.

Balotelli is also someone who needs to improve on his early showings for the club. His one goal in five outings for the Reds hasn't provided the impact needed in Sturridge's absence. More worryingly than the Italian's lack of goals is his ability to slow play through the centre and an over-willingness to shoot from distance.

Sky Sports summed up the player's troubles after he missed a simple chance during the 1-1 draw with Everton:

Rodgers is said to be "keen" on bringing Napoli striker Gonzalo Higuain to the Premier League, per an alternative Chapman report. The Argentinian is yet to net in five Serie A appearances this campaign and is struggling to make an impact in Rafa Benitez's side. He is a more of a lurker in the box than Balotelli and could provide Liverpool with the finisher they so badly need.

Both Isco and Higuain have the quality to significantly improve Liverpool's chances of success. Rodgers' side are currently sat 14th with two wins in their first six Premier League games. They are already nine points off the summit they so nearly clinched at the conclusion of last season and need quickly to improve if Champions League football is to stay next year.

Rodgers could help address this in January by bringing in genuine world-class players, starting with a certain Madrid star whose commitment may be tested when a concrete offer rolls in.