Spanish side Sevilla are leading the England goalkeeper on loan with Everton having also expressed an interest in Hart earlier in the summer.
Guardiola is set to sign Barcelona's Claudio Bravo as a replacement before the transfer window closes-he has a £36m release clause in his contract-after being told by his former club that his No 1 target Marc-Andre ter Steggen is not for sale.
Hart was axed for the Premier League opener with Sunderland- which was watched by new England manager Sam Allardyce- when Gaurdiola surprisingly preferred Willy Caballero, despite the Argentine being regarded as the inferior goalkeeper by many in the game.
And Guardiola's conciliatory post-match comments on the player's future are in stark contrast to what he has told him privately.
City's longest-serving player has been left in no doubt that that the new City magager does not rate him highly enough.
He is nnow resigned to leaving the Ethihad, but with just two weeks before the transfer window closes it is likely that Hart will only countenance a loan move with the majority of clubs already having settled on their goalkeeping options.
Sevilla would provide him with Champions League football, while Everton enquired in May about the possibility of a permanent deal for the 29-year-old.
Hart has played 347 times for City- plus 63 times for England-since his £1m move from Shrewsbury in May 2006. But his relationship with Gaudiola has been described by insiders as "frosty."
He did not help his cause by making high-profile errors against Wales and Iceland for England in the Euros but it is understood that Gaurdiola had already made up his mind he would no longer be City's No 1.
"Pep just doesn't fancy him," said a source.
Guardiola said of his decision to pick Cabellero: "I think he had good pre-season, he gave me a lot of confidence, he has personality and that is why I chose him.
"I have a lot of respect for Joe. I know how good a goalkeeper he is but I decided for Willy. In the end I have a squad and I decide [on] what I see. It is not a personal issue."
Hart was in the City squad that yesterday travelled to Romania for City's Champions League play-off round first leg against Steaua Bucharest tomorrow.
But Cabellero is expected to retain his place while his compatriot Nicolas Otamendi is expected to be fit after missing the Sunderland game with a tendon injury.
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