After finishing ninth in the Premier League and winning the Capital One Cup in his debut season in English football the 49-year-old has been linked with a move away
Laudrup, 49, has been linked with a number of other managerial roles around Europe after guiding the Swans to ninth spot in the Premier League and winning the Capital One Cup in his first season in English football.
And while he has conceded the players are in the dark over whether Laudrup will stay at the club, Davies has praised his impact on his progression in to the first team.
He told BBC Sport: "I try to ignore it as much as I can, although it is pretty hard when it is in every paper.
"As players, we will not know until something does come out but everybody loves playing under Michael, and you saw how well we did last season.
"He is quite a quiet man and he does not say a lot to all the players but, as soon as he took charge, he was always telling me that I was part of his plans for the season.
"I didn't expect to be told that and it threw me a bit, but for someone as high profile and knowledgeable as him to put his confidence in me was a big boost."
Laudrup, who signed a contract extension with Swansea in March, has been linked with clubs all over Europe in recent weeks.
Swansea recently parted ties with Laudrup’s agent Bayram Tutumlu, intensifying speculation over the ex-Barcelona star’s future, but Davies is desperate for him to stay and highlighted his impact on the training pitch.
"He is one of those people who will show you how it is done as opposed to tell you," he added. "When you are out on the training pitch with him, every day he is probably showing half the team how things are done - it is easy to learn from him out there.
"When you have got someone like that who is your manager, you always hope to do your best to show him that maybe you could step up to his level one day. He inspires you to want to keep getting better and better."