Benitez was quoted on Friday insisting the Reds were a better team than the Old Trafford and he was the only one willing to stand up to Sir Alex Ferguson.
Those comments sparked a reaction from United boss Ferguson in his press conference, but Benitez has since refuted the reports.
"It is not true," Benitez told Sky Sports News. "I did not say this.
"It was a normal conversation with a good journalist and then has been twisted a little bit."
Benitez, whose side travel to Hull on Saturday without injured captain Steven Gerrard, did offer his view on the state of play in the Premier League which sees the Merseyside outfit trailing the Red Devils by three points having played a game more.
The Spaniard said: "I think United are in the driving seat - that is clear. It depends on them so we have to keep going, keep doing our job, try to win, score four goals don't concede - things like this and see what happens."
Benitez, whose side dropped points in the 4-4 draw with Arsenal in midweek, believes the Gunners can lend a helping hand to the Reds in their title quest.
He added: "I think they will have difficult games and they have to play a lot of games so we have to keep the confidence, the belief that we can do it."