Liverpool owner John W Henry remained coy about the future of Kenny Dalglish but said the Scot was doing 'very well' after watching the Reds win 2-0 at Sunderland.
Dalglish returned to the Anfield club's hotseat in January in place Roy Hodgson, on a deal until the end of the season, and the case for the 60-year-old to be handed the job on a permanent basis was only strengthened at the Stadium of Light.
Henry refused to go into details regarding discussions with Dalglish, saying that was not 'the Liverpool way', but seemed pleased with the progress being made on the field.
When asked about a new contract, Henry said in the Daily Telegraph: 'What is going on in that regard is private. It is something called "the Liverpool way" and you do these things behind closed doors.
'I am not going to talk about these things. He has done very well.'
Asked if there had been a change in mood since Dalglish took over the reins from Hodgson, Henry replied: 'Absolutely, it's all very positive.'
Both manager Roy Hodgson and star striker Fernando Torres have left Liverpool since Henry arrived. The American added: 'Someone was saying that people weren't happy here. But I think since that person left, people are happier.'
Dalglish, too, was relaxed about his future after the Reds took their tally under the Scot to 20 points from 10 league games with yesterday's win, which left them four points adrift of fifth-placed Tottenham, who have a game in hand.
He said: 'As regards the job, I have seen in the papers I have asked for four years. Well, I don't know who I asked. I saw that I was offered two (years) - I don't know who sent that in.
'Somebody said have I spoken to the owners - of course you speak to the owners, you speak to them regularly during the week.
'It's their club and they are fantastic owners and they are very supportive owners. But there have been no detailed discussions about next season, so until there is something that's to be said, we cannot make it up.'
Henry was impressed with what he saw on Wearside yesterday, when Dirk Kuyt's controversial penalty and a superb Luis Suarez goal clinched the points.
'It was a great goal,' Henry said of the Uruguayan's strike.
'He is a heck of a player.'
He added: 'We are working on the future. We will have to have a lot of days like today to do that (finish fifth). This was a big three points, because this is a tough place.'