Palermo's goal came three minutes after Hernan Rengifo had tied the score for Peru. A driving rain had soaked the field at Monumental Stadium.
Visiting Chile clinched the third South American berth in next year's World Cup with its 4-2 win over Colombia, and Uruguay moved into fifth place with a 2-1 win over Ecuador in Quito.
Argentina will clinch a berth in the World Cup finals for the 10th straight time if it beats Uruguay in Montevideo on Wednesday. A tie with also suffice unless Ecuador wins by five or more goals at Chile.
Uruguay will claim fourth place and the remaining automatic berth from South America if it beats Argentina.
Ecuador will clinch no worse than fifth place with a win at Chile.
The fifth-place team will face Concacaf's fourth-place team in a two-game playoff next month.
Chile will return to the World Cup for the first time since 1998, winning on the road in Medellin on goals by Waldo Ponce, Humberto Suazo, Jorge Valdivia and Fabian Orellana.
Key=*clinched first place.
SOUTH AMERICA
Standings:
TEAM GP W T L GF GA P
*Brazil 16 9 6 1 32 9 33
*Paraguay 17 10 3 4 24 14 33
*Chile 17 9 3 5 31 22 30
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Argentina 17 7 4 6 22 20 25
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Uruguay 17 6 6 5 28 19 24
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Ecuador 17 6 5 6 22 25 23
Venezuela 17 6 3 8 23 29 21
Colombia 17 5 5 7 12 18 20
Bolivia 16 3 3 10 20 34 12
Peru 17 2 4 11 10 34 10
*Qualifies for 2010 World Cup.
Schedule:
Sunday, Oct. 11
Bolivia vs. Brazil
Wednesday, Oct. 14
Peru vs. Bolivia
Paraguay vs. Colombia
Brazil vs. Venezuela
Chile vs. Ecuador
Uruguay vs. Argentina
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