Liverpool moved into the top three and above Arsenal, after an inspired performance saw the Reds run out 3-1 winners at Anfield.
The hosts took the lead at nine minutes when Roberto Firmino controlled Sadio Mane’s centre and beat Petr Cech.
Jurgen Klopp’s side dominated the first half and were two goals up five minutes before the interval, when Firmino teed up Mane to score this time.
Arsenal threatened a fightback when half-time substitute Alexis Sanchez’s through-ball allowed Danny Welbeck to beat Simon Mignolet on 57 minutes.
But Liverpool made sure of the points in stoppage time when Georginio Wijnaldum scored at the break.
The three points lift Liverpool to third, two points ahead of Arsenal, who drop to fifth.