Liverpool have taken advantage of another surprise slip-up from champions Manchester City to open up a six-point lead at the top of the English Premier League.
Liverpool beat Newcastle 4-0 at Anfield on Boxing Day and City were beaten 2-1 at Leicester, dropping them behind Tottenham, who went second after they thumped Bournemouth 5-0.
Dejan Lovren, Mo Salah, Xherdan Shaqiri and Fabinho scored as Liverpool maintained their unbeaten record at the season's midway point.
"We just focus on ourselves and it's game by game for us," Lovren said.
"We need to keep this momentum and after the next couple of games we will see where we are."
Lovren opened the scoring with a stunning half-volley from just inside the box on 11 minutes as Liverpool led 1-0 at half-time.
Salah scored from the spot after he was fouled by Paul Dummett, and Shaqiri and Fabinho completed the rout with late goals.
Manchester City suffered a second straight defeat, following their home loss to Crystal Palace, by going down at Leicester.
Bernardo Silva put the visitors in front but Marc Albrighton equalised and Ricardo snatched the winner nine minutes from time.
City's setback allowed Tottenham to leapfrog them into second place after they smashed Bournemouth 5-0.
"Seven points to Liverpool is starting to be a lot, we are not playing as well as we want at this part of the season," Silva said.
Having put six goals past Everton last time out, Tottenham were clinical again, with Son Heung Min scoring twice.
Christian Eriksen started things off and Lucas Moura and Harry Kane scored between Son's two strikes to lift Spurs one point ahead of City.
Brighton held Arsenal 1-1 to end a three-match losing run.
Pierre-Emerick Aubameyang's league-best 13th goal put Arsenal up early with Juergen Locadia equalising before half-time.
Arsenal moved into fourth, though only briefly as Chelsea beat Watford 2-1 with Eden Hazard passing a century of goals for the club through a match-winning double.
Hazard opened the scoring with his 100th Chelsea strike, showing typically impressive composure in front of goal to round Ben Foster and tap home.
The 27-year-old then buried a penalty he had won by drawing a foul from Foster to put the Blues back ahead.
Chelsea boss Maurizio Sarri had criticised his players for their reaction to slipping behind against Leicester on Saturday, as they limped to a 1-0 Stamford Bridge defeat.
But here Chelsea displayed far more backbone in recovering from Roberto Pereyra's snap volley equaliser that had cancelled out Hazard's opener on the stroke of half-time.
Paul Pogba scored twice as Manchester United made it two wins out of two under Ole Gunnar Solskjaer with a 3-1 victory over bottom side Huddersfield.
Nemanja Matic got the opener before Pogba grabbed his two goals, the second a superb long-range effort, lifting sixth-placed United to within five points of Chelsea.
Fulham moved off the bottom after a hard-earned 1-1 draw with Wolves in the day's early game, enough to lift them one point above Huddersfield.
Burnley remain in the bottom three after they were humbled 5-1 at home by Everton, with Lucas Digne scoring two goals for the visitors.
Cardiff earned a point in a 0-0 draw at Crystal Palace, lifting them three points ahead of the relegation zone.