After the earlier high noon showdown between Liverpool and a United side lacking in any great ambition ended in goalless stalemate at Anfield, City cashed in with a third straight league match at the Etihad in which they have struck at least five goals.
Pep Guardiola's men became the first team to net 29 goals in their first eight league games of a top-flight campaign in England since Everton 1894-95.
Their sixth consecutive league win moved them to 22 points with United on 20 and Tottenham Hotspur maintaining third position on 17 after finally earning their first home win at Wembley Stadium, 1-0 over Bournemouth.
Sensation of the day came at Selhurst Park where Crystal Palace, hitherto without a goal and point to their name, downed champions Chelsea 2-1 with Wilfried Zaha, returning from injury, their hero thanks to a brilliant goal just before the break.
Palace's new manager Roy Hodgson celebrated his first win in charge but the defeat left Chelsea nine points behind leaders City, who are playing a brand of kaleidoscopic football at the moment.
Gabriel Jesus, with a brace, Raheem Sterling, David Silva, Fernandinho, Leroy Sane and Bernardo Silva all found the target in the demolition of Stoke.
Yet the orchestrator of the triumph did not even trouble the scorers, Kevin de Bruyne again the man of the match.
Their dazzle was a stark contrast to their neighbours' negativity in the underwhelming Anfield game which the only Manchester United highlight was David de Gea's great save to deny Joel Matip.
Liverpool, despite being much the better side, were blunt in attack, failing to convert any of their 19 attempts on goal.
"Manchester United came here for a point and got it," said Liverpool manager Juergen Klopp with a sigh.
"It was a good performance, I thought worthy of three points. We were unlucky in at least two, maybe three situations."
Chris Wood earned an 85th-minute equaliser for Burnley in a 1-1 draw at home to 10-man West Ham United, who had Andy Carroll sent off in the 27th minute after a couple of elbowing offences earned him two yellow cards.
Swansea City forged clear of the relegation zone with only their second league win of the season, a 2-0 victory over Huddersfield Town.
(Reporting by Ian Chadband, editing by Ed Osmond)
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