"I do not think he will come with us," conceded a clearly frustrated Benitez at this afternoon's press conference at Melwood.
Benitez has been long been an admirer of the Bordeaux striker, who he had targeted during the transfer window.
Chamakh's contract at the French club is set to expire in the summer making him the most sought after Bosman transfer in European football.
Capturing him on a free increased the Moroccan international's appeal to Benitez, and the Reds had forged their way into the lead for his signature last month.
The player's advisers had indicated that they wanted Chamakh to move to Anfield ahead of Arsenal but, despite Benitez's best efforts, it appears he is now headed for the Emirates.
Having invested so much time and effort in his attempts to woo Chamakh, missing out on a player who has attracted rave reviews in Ligue 1 would leave Benitez hugely frustrated.
He was convinced at the end of the transfer window that Liverpool would soon be in a position to announce Chamakh's signing.