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Sterling and Fernandez were embroiled in a spat throughout Liverpool's 4-1 Premier League win at Anfield on Monday, and the England forward appeared fortunate to escape punishment after pushing the Argentinian in the face in front of an assistant referee.
However, Liverpool fears that the 20-year-old may be charged by the Football Association (FA) have proved unfounded.
Sterling is therefore available to face Leicester City, who visit Anfield on New Year's Day.
