Manchester City's Premier League title defence suffered a major setback as Everton snatched a 1-1 draw against the champions, while Marcus Rashford responded to his benching for missing a team meeting with the late strike that clinched Manchester United's 1-0 win at Wolves on Saturday.
City needed a victory at the Etihad Stadium to put pressure on Arsenal ahead of the leaders' trip to Brighton in Saturday's late game.
But Pep Guardiola's second placed side blew the lead given to them by Erling Haaland as Demarai Gray scored an eye-catching equaliser for struggling Everton.
City trail Arsenal by four points after failing to win for the second time in their last three league games.
Haaland had scored eight goals more than Everton's entire squad in the first 16 Premier League matches this season.
And inevitably it was Haaland who put City ahead in the 24th minute with his 27th goal in 20 competitive appearances since his close-season move from Borussia Dortmund.
Riyad Mahrez provided the assist with a dazzling run and pin-point pass to the Norway striker, who slotted past Jordan Pickford in ruthless fashion.
Yet Everton equalised against the run of play in the 64th minute as Gray robbed City midfielder Rodri, cut in from the right flank and curled a blistering strike into the top corner, in the process buying under-fire boss Frank Lampard some much-needed breathing space.