Uruguay failed to recover from the concession of a 35th minute goal and the optimism that surrounded the appointment of coach Daniel Passarella last year is starting to dissipate already.
The Argentine World Cup winner threatened to quit his Uruguayan job last week claiming that he needed more time to prepare players for World Cup matches and his side did not show much cohesion in Asuncion.
Uruguay conceded from a simple corner kick routine that saw Celso Ayala evade marking to sink a header into goal.
Gonzalo de los Santos was sent off for a second bookable offence during the second half to add to Uruguay's problems.
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