UPDATE 2-Soccer-City honour United then dent their title hopes

(updates standings after later match in 7th and 8th paras)

By Mike Collett

MANCHESTER, England, Feb 10 (Reuters) - Manchester City honoured the memory of Manchester United's tragic 1958 Busby Babes before showing no regard for their arch-rivals' current title ambitions with an unexpected 2-1 win at an emotional Old Trafford on Sunday.

After the fans of both clubs had observed a minute's silence to mark the 50th anniversary of the Munich air crash that killed 23 people including eight United players, City stunned United with an excellent performance to win at Old Trafford for the first time since 1974.

First-half goals from Darius Vassell and debutant Benjani Mwaruwari also gave them their first league double over United since 1969 and sent United crashing to their first home league defeat of the season.

Substitute Michael Carrick's well-taken stoppage-time goal was no more than a consolation for the home side, who played in a 1958-style kit without logos or markings apart from the numbers on their backs as a mark of respect to the Munich victims.

Although the kit evoked memories of the great United side that was virtually wiped out at Munich, their performance on the day did not.

City, with skipper Richard Dunne outstanding in defence and Stephen Ireland and Martin Petrov battling for everything in midfield, well deserved the win that has seriously hit United's hopes of retaining their title.

The result put City in seventh place with 44 points from 26 games, on the same points as fifth-placed Liverpool who drew 0-0 with Chelsea at Stamford Bridge.