Numerous reports have linked Alan Pardew's Magpies with the youngster, who is expected to leave Old Trafford following a string of off-the-pitch problems. Newcastle's offer for the 18-year-old midfielder is thought to be in the region of £500,000 but it is apparently short of the Red Devils' valuation.
Morrison is yet to play in the Premier League but has racked up three League Cup appearances since turning pro in February 2010. Last year he was given a 12-month referral order and forced to pay costs and compensation after being found guilty of witness harassment.
The midfielder is thought to be well regarded by United coaches, however, and scored twice when the club's youngsters won the FA Youth Cup in 2011. Newcastle are currently short of attacking options due to Demba Ba's involvement with the Africa Cup of Nations and injuries to Sammy Ameobi and Nile Ranger.