These are not rumors. Its already confirmed. He won't play in these set of qualifiers because the paperwork is not done. But will be eligible going forward.
How is it a disgrace? He was available to play for Brazil all these years yet Fred and Jo were picked ahead of him. He has not been given a single competitive cap for Brazil despite playing so well for so long and being 25. So he went for Spain where the manager and openly admitted his appreciation and he has a good chance of getting in since Spain doesn't have a lot of good strikers.
Wow. Does anyone know if this is true? That would be a total disgrace. Why would he represent Spain over his home country? Is he chasing glory? It's not like Brasil is crap, they are great and could use a class striker like Costa. I would choose him over the likes of Fred and Jo any day.