The Reds number one has been mentioned as a possible transfer target for big-spending Atletico Madrid when the transfer window reopens.
However, Benitez has no intention of selling the Spain international, who has only just signed a new long-term contract to keep him at Anfield until 2012.
"I spoke to some people about this and, unfortunately, I think the journalist who wrote the story is very inexperienced," Benitez told the Liverpool Echo.
"Maybe before Pepe signed a new contract a lot of clubs wanted to talk to him, but that was many weeks ago.
"He is very happy at Liverpool and I don't believe at the start of the season, with Pepe and the team playing really well, is the time to start talking about what will happen at the end of this season.
"The transfer window is closed and Pepe is really happy here so a story like this is not true."