Connor stepped up from being an assistant to take over the club in February when Mick McCarthy was sacked by the board.
However, Wolves have failed to win under the 49-year-old's stewardship and were relegated to the Championship yesterday afternoon.
Despite failing to keep the club in the top flight, Moxey has revealed that the door is open for Connor to continue his coaching career at Molineux.
"Terry is an outstanding coach, he is a Wolves man through and through, he is our manager until the end of the season," Moxey told Sky Sports News. "We will address the situation of the manager once the season is finished and, as far as I am concerned, Terry is an outstanding guy and there is no reason why he should not have a future with us.
"He has had to endure a very difficult situation that he's taken on as effectively as he possibly could. We will address it in detail at the end of the season.
"We tried to sign a manager as everyone knows, that didn't work and Terry took over the reins."
Connor joined the coaching staff at Wolves in 1999.