Manchester United manager Sir Alex Ferguson has inisted that it is "no time for panic" as his side suffered their second defeat in two games with a 3-0 loss at Newcastle United.

Having lost against Blackburn Rovers on New Year's Eve, the result at the Sports Direct Arena has seen the Red Devils slip three points behind league leaders Manchester City.

"The story of the game is they had two fantastic goals which put them in the driving seat and they weren't going to lose it," Ferguson told Sky Sports News.

"We have had our opportunity and it's advantage to Man City. We don't normally have back-to-back defeats but the plus point is we had some players back tonight.

"It's not a time for panic, we have the experience to cope with it. We need to get the show on the road in terms of the run in."

United travel to Manchester City in the FA Cup third round on Sunday.