Real are struggling in the league this season as they sit fourth in the league table with 39 points after 21 games.
[The Madrid manager, Zinedine] Zidane has just said he wants Isco to stay at the club forever, but the report that he wanted to get rid of him sounds like a leak by the club who wants to put Isco in the market.
"He always has that mindset".
"The fans come to the stadium and can do what they wish", said Zidane when asked about the treatment of his fellow Frenchman.
Speculation the 26-year-old is unsettled in France has prompted persistent talk of a move to Madrid, who are said to be considering huge investment in the playing squad before next season after a awful defence of their league title.
That's exactly why both Zinedine Zidane and president Florentino Perez want to rebuild the team next season, and let the likes of Gareth Bale, Karim Benzema and maybe even Cristiano Ronaldo move on for the next set of Galacticos.
Without their leading scorer Willian Jose due to injury, and with a terrible past record at the Bernabeu, the visitors quickly crumbled.
The sides meet in the second leg of their semi-final showdown at the Mestalla on Thursday evening with Barca carrying a 1-0 lead into the game courtesy of Luis Suarez's lone strike at the Nou Camp last week.
Ronaldo - who has hit 15 home LaLiga goals against La Real, his favourite opponents at the Bernabeu - had a slow start to the campaign but has been resurgent since the mid-season break, scoring seven goals - more than any other player in LaLiga in 2018.
They could not keep up the same intensity after the restart, however.
Jon Bautista pulled one back after the break, but Ronaldo scored his third from close range before Asier Illarramendi's volleyed consolation.
Between them, Neymar, Mbappe and Cavani have scored 48 league goals this term - and some of their interplay has been spectacular.
Madrid were in front inside 50 seconds when Lucas Vazquez headed in Cristiano Ronaldo's deep cross.
In Malaga, second-placed Atletico went ahead nearly instantly when Antoine Griezmann capitalised on Saul Niguez's deflected strike falling at his feet close to goal.