Capello hailed Terry as a "leader" after the Chelsea defender's towering performance against Slovenia - just days after they traded barbs publicly.
The Italian showed that now appears to be water under the bridge as the England boss hailed the Stamford Bridge star's display.
Capello said: "He's a leader. He's real a leader. For me, I have no problems with the players. I respect them and they respect me. It was really important the performance of John Terry, like a leader on the pitch.
"We played hard and, every moment, we won back the ball. Every tackle - that's very important if we want to win."