"His head is where Bruno's (Bruno Guimaraes has also been linked with a move away) is. He's with Newcastle," Howe told reporters. "No distractions. He’s been really impressive (in training). His focus has been on his work and his fitness, everything to do with this football club, nothing else."
Howe said the deal with Liverpool was "a difficult time", admitting the club were forced into striking a deal with the Reds due to PSR rules.
“I'm confident he is okay," the Newcastle boss added. "We've had no conversations over the summer where it has been fractious or negative.
"He's always been the Anthony Gordon who has given absolutely everything to Newcastle. He's such an important player for us.
"We didn't want to lose anybody. Why would we want to lose our best players? We fought really hard to make the right decisions in those last couple of weeks.
"The rules forced us to do things we didn't want to do. It was a really difficult time; there was a lot of uncertainty, and we didn't know what was going to happen.
"It was very, very difficult, but Anthony is an integral part of what we're doing. He needs a bit of a break. He's had a long season and the Euros will have been emotional for him as well. Hopefully, by the time he comes back, he's ready to go."