James Scowcroft's fourth goal in two games against Southampton was not enough to secure a victory for Palace.
Scowcroft, who netted a hat trick at St Mary's on the opening day of the season, gave the Eagles a 72-minute lead, only for Stern John to equalise six minutes from time.
It was a frustrating goal to concede, coming just minutes after the woodwork twice thwarted efforts from Ben Watson that would have killed off the game.
Palace went into the match keen to get back on track after their 15-game undefeated league run came to an end at Leicester the previous Monday.
Yet manager Neil Warnock decided against making changes to his starting line-up and instead chose only to replace substitute Carl Fletcher with Neil Danns, Palace's new signing who missed out on making his debut in the televised Walker's Stadium clash with a back spasm.
Therefore Scowcroft, struggling with an achilles injury, kept his place in the team but the fit-again Danny Butterfield could not force his way onto the teamsheet.
On a clear but freezing cold afternoon, Palace got off to a lively start with Sean Scannell hitting wide from Scowcroft's flick on within the first few seconds.
The Eagles looked livelier but the visitors had the game's first real chance when Wayne Thomas seized on Clint Hill's slip to cross for Jason Euell, but his header lacked conviction and the ball bounced across the face of the goal and finished harmlessly out of play.
Scowcroft, who bagged a hat trick when these two teams met on the opening day of the season, enterprisingly struck towards goal from Clinton Morrison's assist on 17 minutes. Saints goalkeeper Kelvin Davis, however, gathered without a problem.
The eventless game showed signs of livening up when Thomas struck a speculative effort from 30 yards on the half-hour, but the ball went wide.
Eleven minutes later, good work by Scannell set up Ben Watson from the edge of the area but his shot was blocked.
As the first half wound down, John injected some pace into proceedings with a run down the Palace left. He presented Bradley Wright-Phillips with a glorious opening that he struck marginally the wrong side of the upright.
If the opening half was depressing, there was not a great deal more for Palace fans to shout about after the interval.
Southampton were beginning to look dangerous and, more than once, home defenders had to be on their guard to snuff out threatening situations.
Sixty minutes in, Morrison turned and hit a half-chance wide but opportunities remained thin on the ground.
Palace needed a change and Warnock obliged, bringing on Dougie Freedman for Morrison and handing a debut to Danns, replacing Tom Soares.
Palace finally broke the deadlock on 72 minutes. Scowcroft contested Mark Hudson's high ball and the ball rebounded to Danns, who returned the ball in the direction of the striker with a nifty header.
With Scowcroft's marker, Darren Powell, on the floor from the initial challenge, he had the space to turn and shoot into the bottom corner in one swift movement.
The goal released Palace from the shackles and a second almost followed.
On 78 minutes Watson's left wing free kick evaded everyone, even the unmarked Hudson at the back post, and bounced out off the post.
Seconds later, Watson again hit the woodwork when his 20-yarder was tipped onto the crossbar. For the second time in less than a minute the ball bounced out into safety.
Palace were made to pay on 84 minutes when Saints sub Marek Saganowsk threaded through to Andrew Surman, whose low left wing cross was diverted into an empty net by John.
Despite the late arrival of Victor Moses there was no further scoring, leaving Warnock to reflect on two points dropped in the Eagles' promotion challenge.
Crystal Palace: Speroni; Halls, Hill, Hudson (c), Lawrence; Watson, Derry, Soares (Danns 64); Scannell (Moses 88), Morrison (Freedman 64), Scowcroft.
Subs not used: Kuqi, Hills.
Goal: Scowcroft (72).
Booked: Watson (33).
Southampton: Davis, Thomas, Powell, Wright-Phillips (Saganowski 71), Wright, Surman, Hammill (McGoldrick 79), Euell, Safri (c) (Idiakez 73), John, Davies.
Subs not used: Bialkowski, Viafara.
Goal: John (84).
Attendance: 17,967 (Away 2,332)
Referee: Mark Halsey. Assistant Referees: T. Massey, A. Garrant. Fourth Official: C. Foy.
