Gary O’Neil’s side want to sign Reed and have gone in with an enquiry for the midfielder, which Fulham knocked back.
Fulham do not want to sell Reed and also believe that Wolves’ valuation of the 28-year-old is too low.
Wolves could come back with an offer though as they feel they can persuade Reed to make the move to Molineux.
Fulham for their part are trying to convince the midfielder to pen a new contract.
Reed’s current deal at Craven Cottage runs until the summer of 2024, but Fulham do have an option to extend it by another year.
It remains to be seen if Reed’s head has been turned by the prospect of a move to Wolves.
The midfielder clocked 37 appearances in the Premier League for Fulham over the course of last term.
