City drew 3-3 with Burnley after having battled back from a two-goal deficit to lead with three minutes remaining.
Tottenham Hotspur moved back into the top four, above City, with a 2-0 home defeat of Sunderland after two consecutive losses while Aston Villa climbed to fifth with a 5-1 hammering of Bolton Wanderers at Villa Park.
Arsenal took their goal tally to 36 in 11 league games with captain Cesc Fabregas again magnificent for the Gunners as he scored his ninth goal of the season. Arsenal's first two goals were scored by Wolves players.
"Overall it was a good performance," Wenger told the BBC. "They made a strong start - but once we got ahead, we controlled it.
"Our belief is there, we want to give our best in every game. We have great potential and we can go from strength to strength."
Manchester City looked to have sealed the points when goals from Shaun Wright-Phillips, Kolo Toure and Craig Bellamy wiped out Burnley's 2-0 lead but Kevin McDonald struck late to earn the visitors their first away point this season.
"It's fair to say we were disappointed with our first half performance," City manager Mark Hughes, who spent nearly 100 million pounds in pre-season, told Sky Sports.
"We put in a huge effort to get our noses in front and we should have seen the game out. There are things we need to look and things we need to address."
Sunderland manager Steve Bruce bemoaned his side's luck.
"Anybody who witnessed that today will know that we should have got something," he told Sky. "We were terrific.
"In my opinion Gomes should have been sent off because he denied a clear goalscoring opportunity. That was the turning point. We missed the penalty and they should be down to 10."
