The result saw the Reds slip five points behind the Gunners and suffer a blow to their confidence.
But former Arsenal star Toure does not believe that losing at the Emirates equates to the end of Liverpool’s ambitions.
“Arsenal are not the title favourites. The season is long. We all want to be champions. This is only November. They will have a hard time as well. The season is not done yet, definitely,” Toure told the Daily Mirror.
“Both Arsenal and Liverpool definitely have what it takes to win the title. Two great teams, with great spirit. Both teams work hard and fight and, even though Liverpool were in a difficult situation, we kept fighting and I think that's really good. Both teams are strong mentally.”
The reason Toure believes Liverpool will only get better as the season progresses is the return of Philippe Coutinho.
The young Brazilian made a brief second half cameo at the Emirates after coming back from injury.
And Toure rates him so highly that he thinks he will be the spark to Liverpool’s impending success.
“I call Coutinho my player, my best player, because I think he is amazing. He makes the difference,” Toure gushed.
“This season he has been injured and when he will come back, I think he’s going to be amazing this season, definitely. In training, he is one of the hardest to mark, definitely.”
“[Luis] Suarez is amazing, too. When you have a player like that [Coutinho], you know that you have this magic and people haven’t seen that yet and they will because he is young, definitely,” the Ivorian defender added.
“In Suarez and Daniel Sturridge we have two of the best strikers in the world. They are amazing. I think when Coutinho came on in the second half it showed there’s not much difference between us and Arsenal.”