Four wins from its opening four matches have Inter leading the pack with a perfect 12 points, two ahead of its other fierce rival Juventus, which beat Lazio 3-1.
Milan sits a further point back in third after a humiliating first defeat of the season before they welcome Newcastle United in the Champions League on Tuesday.
Spurred on by the majority of a heaving and raucous San Siro crowd, Inter claimed its fifth straight derby win in all competitions thanks to a Henrikh Mkhitaryan brace, Marcus Thuram's rocket and two late strikes from Hakan Calhanoglu and Davide Frattesi.
Simone Inzaghi's side claimed the points with a display which showed why it got past Milan to reach last season's Champions League final and confirmed its status as early favorites to beat their local rivals to a 20th Scudetto.
"We've started the season brilliantly and we want to keep going," Mkhitaryan told DAZN. "We're all here for the same goal, and I don't care who plays... the coach will pick whoever gives their all for the second star (on the shirt for 20 titles)."
Thuram continued his fast start in an Inter shirt, the new signing also crucial to Mkhitaryan's fifth-minute opener.
France forward Thuram bundled past Malick Thiaw before finding Federico Dimarco whose mishit shot was guided home by the former Armenia midfielder.
And Thuram then underlined Inter's superiority seven minutes before the break after a lightning breakaway started by Lautaro Martinez, collecting from Denzel Dumfries before cutting inside the hapless Thiaw and crashing in an unstoppable shot from the edge of the area.
The match looked dead and buried with 45 minutes to play, but Rafael Leao halved the deficit in the 57th minute when he rolled in his second of the season after being brilliantly put through by Olivier Giroud.
Leao's finish was the first goal conceded by Inter this term and as a violent downpour descended on the San Siro, Mkhitaryan silenced Milan's loud "away" support with his deflected second of the evening after being fed by Martinez.
Calhanoglu's 79th-minute penalty and a neat stoppage-time finish from Frattesi, fresh from Tuesday's double for Italy at the same ground, rubbed salt into wounds for Milan and coach Stefano Pioli.
"I don't think we need to apologize to our fans. Do you think we wanted to concede five goals to Inter?" said a defiant Pioli, who in 2023 has lost every Milan derby to an aggregate score of 12-1. "We're disappointed, but you ask for forgiveness when you deliberately don't do something."
Interesting, not a word about how CP played, what his contribution was or if this was any, or how did he look. If you're going to report about our boys playing in Europe and only mention when they score a goal or gave the winning assist, then SA should also report when they look like crap as well...We need a little more balance in our reporting in how our guys really fare overthere in order to give us a better picture of the player himself.....
Very much agree. A report on an AC Milan match and absolutely no mention of CP. what are they thinking?
He didn't stink up anything up but didn't do much to get anyone excited like all the rest of his European teammates?
CP probably stunk up the joint. That's why.
Agreed. Give us the CP report! I did not watch the game - but I went back and watched the highlights. Pulisic always has issues when he gets kicked and does not get calls. It was a home game for Inter so - guess what? - he did not get all the calls. He was pulling faces - as he is apt to do when frustrated in those contexts. Being American - and raised during the cupcake days of DA - he does not have the edge - to make a mental note - and leaving a stingger in the next 50/50 - he just gets frustrated. He was not on form. Looked like he had jet lag - and he would have every right to have it. He left @56m - first sub - when it was 2-0. Rest. Recover. Get ready for the next battle son. That said - he was not the issue. Milan was missing important defenders - and - unable to get control of midfield - they were being bossed - and struggle to get into the attacking 1/3. Stadium packed. Context top class.