With the young Celts surprisingly going down in their last match away to Falkirk 1-2, ironically the Bairns youngsters first win of their campaign, this game gave Rangers the chance to close the gap at the top.
However Hibernian had their own agenda in their attempt to climb the table from their lowly position.
A healty crowd of 80 turned up for the match, including a considerable number through from Edinburgh before they headed over to Celtic Park later in the afternoon, and they were all treated to a gripping encounter.
As usual with matches between these two sides no quarter was given or expected as both teams put in some very meaty challenges throughout the match and in particular the opening 20 minutes.
Chance were few and far between as the match got bogged down early with the many free kicks awarded slowing the match down and stopping it from flowing.
The few chances which came Rangers way were restricted to long range efforts sailing over the bar and never troubling Curtis in the visitors goalmouth.
It was Hibs' Ryan Pow who broke the deadlock on 34 minutes as his powerful run down the left saw him pass by the home defenders and race in on Reidford at an angle, his finishing being assured and accurate as the visitors went a goal up.
It nearly got worse for Rangers only a few minutes later when Nicky Whiteman was unmarked at a cross and his header deceived Reidford but was cleared off the line.
With 4 minutes to go to the break Stevie Lennon had Rangers best chance as he broke to the edge of the box but his effort went over the bar.
Rangers came out for the second half more determined and 10 minute after the break saw McLachlan miss with the goal at his mercy as a run and cross from Lennon on the left saw his 16 yard shot go up onto the roof behind the goal.
With an hour gone the match got heated again as Martin Ure and then Ryan Pow joined Nicky Whiteman in the referees notebook.
In the 73rd minute Rangers played their best move of the match as Lennon, again on the left, instigated the move which was to ultimately lead to the much anticipated equaliser. Following a narrow miss from Paul Emslie the ball came back out to Lennon whose cross was met 4 yards out by John Johnston in the centre of the goal and he made no mistake.
Sadly the score remained level only for a six minute period as Hibs themselves then played some neat football on the right and following some good passing through the home midfield and defence Nicky Whiteman worked himself clear into the box and his shot gave Reidford no chance as it hit the postage stamp corner.
With time now running out Rangers threw everything at Hibs as they searched for another equaliser and it looked like they had acheived that on 80 minutes as Agnew found himself in the clear in the box but his shot went straight to Curtis.
As desperation crept in 4 minutes from time, Jordan McMillan struck his 25 yard shot just wide with Curtis looking beaten.
It was poor overall performance from Rangers today against a well organised and physical Hibernian team who played a lot better than their lowly league position suggests. Rangers however still miss the influence of Brian Gilmour in midfield and how he must have wished he was out there this morning as he watched his team mates struggle from the terracing.
\b Rangers\b0 - Reidford, Lowing, Ure, Perry, McMillan, Emslie, Johnston, Lennon, McLachlan, Shinney (Murphy), Woods (Agnew).
Subs not used - Gallacher, Smith, Kinniburgh.
\b Hibernian\b0 - Curtis, McCann, Chisholm, Tolmie, Mailay, Cormack, Gray (Campbell), Lynch, Whiteman, Crooks (Cropley), Pow
Subs not used - Nelson, Dingwall, Stevenson