Leaders West Brom suffered a shock 3-2 defeat at struggling Sheffield Wednesday as substitute Anthony Musaba scored an 86th-minute winner for the Owls.
The Baggies had fought back from two goals down in one of three early kick-offs on Saturday, as second-half efforts from Josh Maja and Alex Mowatt cancelled out Darnell Furlong's own goal and a Josh Windass header, before Musaba’s late strike ended their unbeaten start to the campaign.
The victory was Wednesday’s first in the league since the opening weekend of the season.
Nearest challengers Sunderland had looked set to overtake West Brom at the summit before a late Tom Dele-Bashiru penalty saw them lose 2-1 to Watford.
The Hornets drew first blood through Republic of Ireland international Festy Ebosele in the 28th minute, his first goal for the club, before Wilson Isidor pulled visitors Sunderland level just after the interval.
Both teams seemed destined to take a point apiece before Kwadwo Baah won a penalty and Dele-Bashiru netted from the spot with six minutes remaining.
Managerless Cardiff remain rock bottom after slumping to a 4-1 defeat at Hull despite taking the lead through Ireland forward Callum Robinson.
After Robinson's opener, the Bluebirds were undone by a first-half double from Bachir Belloumi before Oscar Zambrano’s effort and Chris Bedia’s penalty gave Hull breathing space in the second half.
Millwall ran out 3-1 winners against Preston, with Macaulay Langstaff’s effort two minutes after the break adding to first-half goals from George Honeyman and Romain Esse before Jordan Storey got a late consolation for Preston.
Hosts Millwall were reduced to 10 men a minute before the end when Ireland Under-21 international Aidomo Emakhu saw red.
The former Shamrock Rovers forward was shown two yellow cards in quick succession, the first for simulation and the second for squaring up to fellow Dubliner Robbie Brady.
Lewis Travis scored on his 200th career league start as Blackburn beat 10-man QPR 2-0 to maintain their unbeaten league start.
An even game changed in first-half stoppage time when QPR’s Jonathan Varane was dismissed for a reckless tackle.
John Eustace’s men flew out of the blocks in the second period and Travis’ deflected strike seven minutes after the restart set them on their way.
Danny Batth’s first goal for the club just after the hour then settled matters.
Borja Sainz’s stunning hat-trick earned Norwich a 3-2 win at Derby but the main talking point was his controversial opener.
Norwich went ahead in the third minute of first-half stoppage time via a brilliant finish from Sainz as he performed an acrobatic mid-air backheel to convert from close range from Josh Sargent’s cross.
Sargent had seen an initial effort blocked and the rebound appeared to have gone well out of play before he crossed for Sainz.
Craig Forsyth equalised on the hour before two second-half goals from Sainz saw him complete his hat-trick, with Corey Blackett-Taylor pulling one back at the death.
Leeds beat Coventry 3-0 courtesy of goals from Wilfried Gnonto, Jayden Bogle and Joel Piroe, while Middlesbrough saw off Stoke 2-0, with Liverpool loanee Ben Doak and Hayden Hackney getting the goals.
Fourth-placed Burnley drew 0-0 at Oxford, while Portsmouth’s home clash with unbeaten Sheffield United also finished goalless.
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