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Manchester City suffered their second successive defeat as Ricardo Pereira's spectacular late strike gave Leicester a win and dropped Pep Guardiola's side down to third.
Ricardo blasted in a winner from the edge of the penalty area in the 81st minute after Leroy Sane's weak header to leave Manchester City seven points behind leaders Liverpool and take them below Tottenham as well.
The visitors had taken a 14th-minute lead when they took advantage of poor defending from the home side as Sergio Aguero released Bernardo Silva and he calmly slotted past Kasper Schmeichel.
But their lead only lasted five minutes as Marc Albrighton headed in from Jamie Vardy's cross, before Ricardo's stunning winner.
The away side ended the game with 10 men as Fabian Delph was shown a red card when he slid in on Ricardo and caught him on the knee.
Manchester City only lost twice in all of 2017-18 as they became the champions, but this loss was their second in five days after a shock 3-2 home defeat by Crystal Palace on Saturday.
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