Manchester City went down to 10 men and failed to keep a two-goal lead as they lost to Wolverhampton Wanderers 3-2 in a Premier League match on Friday.
The loss keeps City behind Leicester City in third place in the Premier League standings, with the defending champions 14 points behind league leaders Liverpool.
For hosts Wolves, the comeback win puts them in fifth place and in the thick of it for a spot in European qualifying going into New Year's Day.
A wild first-half set the tone for the entertaining match at Molineux, starting when City keeper Ederson received a red card in the 12th minute after leaving the box on a challenge and clipping Diogo Jota.
With Claudio Bravo coming in for Ederson and Sergio Aguero chosen as the odd man out, short-sided City were able to draw a penalty in the 21st minute when Leander Dendoncker was booked for bringing down Riyad Mahrez inside the box.
Sterling's initial penalty shot was stopped, but received a second chance when a VAR review decided Wolves keeper Rui Patricio had encroached off his line.
The Portuguese netminder again blocked Sterling's redux but City's No. 7 got a fortunate rebound for the easy tap-in and the goal.
Sterling got City on the scoreboard again five minutes after the break when Kevin De Bruyne played him on a run in the midfield for a composed finish over Patricio.
Wolves pulled one back in the 55th minute when Adama Traore took a low shot past a diving Bravo into the far corner of the net.
Traore then helped Wolves grab the equaliser in the 82nd minute when he bumped Benjamin Mendy off the ball near the touchline and served Raul Jimenez for the strike. Wolves completed the comeback and nabbed the three points when Ireland international Matthew Doherty scored in the 89th minute.
Sterling made it interesting in stoppage time when he pinged the woodwork on a free-kick, but was unable to get his third goal of the night.
Source: espn.co.uk