Mikel Arteta's problems are increasing. In the week they were rocked by the surprise resignation of sporting director Edu, Arsenal gave up their unbeaten Champions League record after Hakan Calhanoglu maintained his record of never missing a penalty for Inter, scoring the only goal of a closely contested one game scored.

It was an infuriating occasion for Arteta, who was booked for handball in the second half and was almost sent to the stands as his side hoped for an equaliser. However, despite a much-improved second-half performance, which saw the visitors score 13 corners while Inter had none, they suffered a 1-0 away defeat for the second year in a row.

Arsenal's last appearance against Inter in this vast arena almost 21 years ago resulted in one of the most famous European nights in their history. Edu started alongside Ray Parlor in midfield as Arsène Wenger's side recorded a memorable 5-1 win, capped off by a brilliant solo goal from Thierry Henry. Having failed to win any of his last three Premier League games, Arteta hailed a return to continental action as “the kind of game that gets my blood pumping” and he would have been pleased to be able to name Martin Ødegaard as a replacement afterward the captain had missed twelve games due to an ankle injury.

In the absence of Declan Rice, Thomas Partey returned to a central midfield role, while Ben White was able to start in a back four that had yet to concede a goal after three Champions League games. Inter had also kept three clean sheets but scored two more goals than their opponents and are therefore just above them in the table. Their manager, Simone Inzaghi, rested five key players for Sunday's win over Venezia, including Calhanoglu and Mehdi Taremi, and they were reinserted into the starting lineup here.

Inzaghi had stated that his side would try to retain possession to neutralize Arsenal's attacking threat, but it was the Italian champions who took the initiative. Barely 100 seconds had passed when Denzel Dumfries hammered a shot against David Raya's crossbar before Calhanoglu shot narrowly wide from distance.

Arsenal struggled to find their rhythm and Gabriel Magalhães had to intervene in time to keep out Taremi's dangerous low ball into the box. The Brazilian defender was booked after pushing Inter's captain Lautaro Martínez as Arsenal prepared for their first corner. Arteta took the opportunity of a break in play to give some instructions to Jurrien Timber and Gabriel Martinelli, presumably to contain the threat from Dumfries.

Martinelli made the most of Bukayo Saka's excellent move before the stand-in captain recorded Arsenal's first shot on goal in the 27th minute after firing inside from the right side. A wicked cross from Martinelli was then inches away from hitting Mikel Merino's forehead and the Spaniard received a blow to the head when Yann Sommer struck, but the VAR did not require the referee to review the incident.

Inter had not tested Raya in all previous attempts, but their chance came just before half-time when the Romanian referee awarded a penalty to Merino after the ball hit his arm from a close-range volley from Taremi. There was little the Spanish midfielder could have done about it because – much to Arteta's annoyance – Calhanoglu shot the ball from the penalty spot to give the hosts the lead.

It was Merino's final act of the evening as he was replaced by Gabriel Jesus in the second half as Kai Havertz dropped back into midfield. Arsenal appeared determined to find a way back into the game when Martinelli fired into the side netting before William Saliba misplaced his dive from a corner as the goal gaped. They almost scored at the next corner when Gabriel won a header at the near post but Dumfries was able to clear it off the line.

Ødegaard watched closely as he warmed up on the touchline, although it was Inter who freshened things up with a triple substitution just after the hour mark. Arteta was then shown a bizarre yellow card after picking up the ball while it was still on the pitch, after which Inter were awarded a free kick. The referee gave the Arsenal manager a final warning minutes later when he protested another decision as his frustration began to boil. Havertz had a golden opportunity to equalize when Leandro Trossard's cross found its way to the German eight meters in front, but his shot was weak, allowing Yann Bisseck to block in time.

Arteta first turned to his teenager Ethan Nwaneri for inspiration before Ødegaard came on as a substitute in injury time. But Inter's defense remained rock solid as they prepared for this weekend's big game against Napoli with another clean sheet. It was another bitter pill to swallow for Arsenal, who travel across London to face Chelsea on Sunday.