The young Ghanaian has been on trial from Leicester City since January, but the Foxes' assistant manager insists no deal has yet been struck between the two sides
Schlupp, who can play on the left flank or as a striker, has spent the last four weeks on trial with the Red Devils' Under-21 side, having been touted as a possible star of the future.
However, Shakespeare claimed that there is currently no deal in place to take the Leicester academy graduate to Old Trafford on a permanent basis.
"We have not heard anything to that effect [that the club have agreed a deal],” Shakespeare told reporters.
“It is an on-going situation, as reported before. There is no change in that.”
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While not a first-team regular at King Power Stadium, Schlupp has made a total of nine appearances for the Foxes so far this season, and Shakespeare insists the player is still part of the club.
"Jeff was at the game on Tuesday [during Leicester City's 3-0 win over Blackburn Rovers] and came in to see the lads,” he said.
"We are in constant dialogue with Jeff and Manchester United. Again it is a situation we are at ease with.”
The 20-year-old German-born striker is scheduled to appear in a further Under-21 fixture for United, however, Leicester are also able to recall the player at any time if needed.
Shakespeare continued: "He is due to play another game for them and then we will take it from there.
"It is open-ended but they are not going to keep him for six months and not make a decision. But at the same time, if we feel we need to use him here we will. It is all very relaxed."