By DAILY MAIL REPORTER
The rumour mill went into overdrive when X Factor host Mario Lopez revealed he saw them holding hands backstage at the U.S. X Factor last month.
And on Sunday, photographic evidence of Taylor Swift and Harry Styles out together for the first time only served to fuel the rumours of a romance.
They showed the pop stars enjoying a romantic stroll through New York's Central park, hugging a friend's baby and generally playing the part of a happy couple.
Harry wore his trademark beanie over a shirt and jacket, while Taylor sported a burgundy coat over a beige sweatshirt and slim fitting jeans.
The twosome played with a friend's baby and sat on some steps for a rest at one point.
But some reports out on Sunday have shed doubt on the 'romance', with HollywoodLife.com reporting Taylor is allegedly not denying reports of their relationship 'to make her ex-boyfriend Conor Kennedy jealous.'
A source told gossip website 'She isn't denying in any way the reports of the people talking about her having a relationship with Harry because she wants to make Conor jealous.'
'And the way she thinks she is making him jealous is to show him that she has options, but in reality, she actually wants Conor and is just doing this to "Wear the pants in the situation." She has no interest in making the Harry thing work.'
The romance rumours were initially fuelled by eyewitness who saw the pair hanging out at backstage at the U.S. X Factor.
The show's co-host Mario Lopez also confirmed he saw the pair 'walking hand-in-hand', which no doubt will breaks hearts amongst many of Harry's teenage followers.
Mario told listeners of his 104.3 MY FM radio show: 'Taylor Swift was the special guest performer, and [here's] a little inside scoop for you.
'During rehearsals, Harry from One Direction came and slapped me on the back, and said, "Hey, Mario, how ya doing?" And I said, "What are you doing here?" And he sort of [pointed] toward Taylor.'