City were denied by the Rangers stopper Julio Cesar leaving Roberto Mancini's men four points behind rivals United, who have chance to go seven-points clear if they beat Southampton on Wednesday.
Alan Pardew's French formula finally works for Newcastle United as they beat relegation rivals Aston Villa at Villa Park. Papiss Cisse and Yohan Cabaye netted for the Magpies as Villa entered were pushed into the relegation zone.
Despite dominating the game, Swansea City were denied by Sunderland at the Stadium of Light. The Swans were in control of the game and at end of the match striker Danny Graham, who is linked with a move to Sunderland, was denied in front of goal.
Wigan climbed out of the relegation zone after coming back from a two-goal deficit to end 2-2 against Stoke city at the Britannia Stadium. Ryan Shawcross and Peter crouch opened the scoring for the hosts but within ten minutes James McArthur and Franco Di Santo equalised.
Two goals in two minutes saw Arsenal come back from 2-0 down to level 2-2 against Liverpool at the Emirates Stadium. Goals from Luis Suarez and Jordan Henderson gave the Reds a two-goal lead at the hour mark, but Oliver Giroud and Theo Walcott got the Gunners back into the game with clean finishes.
A late brace from super sub Adam Le Fondre helped Reading come back from a two-goal deficit to end 2-2 against Chelsea. The Blues were two goals ahead during the 87th-minute and desperately defending during the dying seconds of the match. Le Fondre netted twice in two minutes to level the scores.
Manchester United have gone seven points clear at the top after coming back to beat Southampton 2-1 at Old Trafford. The Saints striker Jay Rodriguez slotted home within three minutes of the game after David de Gea failed to clear his lines. United hit back with Wayne Rooney's double in the space of 19 minutes.
Gareth Bale's late equaliser helped Tottenham share points against Norwich in the 1-1 draw at Carrow Road. Spurs have now drawn three games in a row.
Everton moved within a point of fourth-placed Tottenham after Leighton Baines' double striker helped them win 2-1 over West Brom Albion.
Fulham picked up three crucial points against West Ham United afer a comfortable a 3-1 victory at Craven Cottage. Dimitar Berbatov opened the scoring but the visitors equalised through Kevin Nolan. Jugo Rodallega and an own goal from Joey O'Brien wrapped up the game for the home side.