Hughes insists nothing should be read into Terry's decision to join Chelsea's squad for their tour of the USA.
He said: "It's what we expected because he's a Chelsea player, he has obligations to that club.
"That's what he has plainly done. We made a bid and it was rejected, that's where we are."
City still have reason to believe the defender wants a switch and are prepared to bide their time.
Hughes said: "Sometimes you have to wait. Maybe we must wait until the end of the window."