The forward is known to be admired by the Reds, who had been tipped to make a club-record move for his signature, which has not interested the Magpies who stood their ground against the Premier League champions who switched their attention to Frankfurt star Hugo Ekitike.
Manager Arne Slot and his team indicated they were willing to negotiate around £120M for the 25-year-old, which would break the British and club transfer record. Adding Isak to the squad would take Liverpool's transfer overhaul to more than £300M in what has been an impressive summer haul so far.
Speaking to talkSPORT, Pardew opened up on Isak’s situation and suggested that the links between the Swedish international and the Reds will not disappear until Ekitike is signed.
“When players want to move they make it fundamentally clear in their actions and can cause a problem. Has Isak’s head been turned? I would suggest possibly yes, so they’ve got a battle on there. Eddie’s trying to play it down but it won’t go away until Liverpool conduct their business.
“The other players, the senior players, usually side with the player, regardless of what the club decide to do,” Pardew continued. “They all want to progress in their career, a bigger contract, a bigger club, don’t think they don’t, they do.
“The Liverpool thing, I would suggest the other players are not that bothered. They obviously want him to stay because he could bring success to the club. But one day that could be them, so they want to see that the club are treating the players correctly. You have to try and find a fine balance.”
Isak has established himself as one of the Premier League's best strikers since joining from Real Sociedad in 2022. He has scored 62 goals in 109 appearances for Newcastle across all competitions and it will be interesting to see if he stays at the club.