The rumor mill is heating up about a supposed romance between Taylor Swift and Joe Jonas of the Jonas Brothers. According to Nashville's Tennessean newspaper, the two 18-year-old stars were spotted together at an outdoor shopping village in Swift's hometown of Hendersonville, Tenn. last week. A source told the paper that they were sitting "very close" to one another and looked to be on a date. But Swift insists you shouldn't believe everything you read.

"We're all friends," the country star tells PEOPLE magazine of her relationship with the band of brothers, without going into anymore detail.

Swift recently joined the pop princes on their tour stops in both Dallas and Anaheim, Calif. She has also filmed a performance for the upcoming Jonas Brothers concert movie. Watch footage of Swift's duet with the Jonas Brothers here.

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