PSV Eindhoven 1 Newcastle 0
PSV Eindhoven: Waterreus, Vampeta, Stam, Numan, Jonk, Petrovic (Moller 81), Cocu, De Bilde, Nilis (Bruggink 80), Faber, Iwan (Stinga 62). Subs Not Used: Van Ede, Claudio, Temiukov.
Newcastle: Given, Barton (Albert 80), Beresford (Ketsbaia 67), Batty, Peacock, Howey, Lee, Rush, Tomasson, Gillespie, Watson. Subs Not Used: Hislop, Barnes, Hamilton, Hughes, Brayson.
Att: 29,200
Dutch star Wim Jonk broke Newcastle's hearts with a 38th-minute winner in tonight's Champions' League Group C tie at the Philips Stadion.
The former Inter Milan midfielder smashed home a superb right foot half volley after Belgian stars Luc Nilis and Gilles De Bilde had set him up 15 yards out.
And Newcastle's misery was completed with England midfielders David Batty and skipper Rob Lee picking up bookings that mean they will be missing when the sides meet again at St James' Park on November 5.
Newcastle began the game showing three changes from the side which started against Leeds on Saturday with Temuri Kestbaia and John Barnes dropping out and Keith Gillespie and Tomasson coming in.
Eindhoven seized the early initiative and within three minutes Jonk had fired wide after he had cut in from the left.
Newcastle were having difficulty getting the ball out of their own half and all too often strikers Ian Rush and Jon Dahl Tomasson were left stranded upfield without any help from their midfield.
PSV maintained their pressure and when Nilis was upended in the 31st minute by Darren Peacock the home side seemed to have plenty of reason to claim a penalty.
However, after being shown the yellow card by Italian referee Stefan Braschi, the free kick was awarded inches outside the United penalty box.
Nilis' free kick was curled around the wall only for Given to save comfortably with Lee completing the clearance.
Seven minutes before the break PSV took a deserved lead when Jonk fired home to the right of the diving Given.
The move began 40 yards out when Nilis found De Bilde. He chested down and Jonk did the rest with a superb half volley.
The home side maintained their dominance up to the interval and Newcastle were facing an uphill task.
Eindhoven quickly regained a stranglehold after the break and in the 48th minute Zeljko Petrovic fired narrowly wide of Given's left hand upright.
It seemed only a matter of time before the home side would get a decisive second goal as the Magpies continued to look lacking in attacking ideas.
They did at least try and change things and Tomasson and Gillespie saw a little more of the ball.
The key to any Newcastle fightback was the pace of Gillespie down the right and on the odd occasion he did see the ball he worried the home defence.
Newcastle had a glimmer of hope in the 57th minute when Peacock and Howey gave keeper Ronald Waterreus problems at his far post.
Batty was booked in the 57th minute ruling him out of the home tie against the Dutch side.
Romanian substitute Ovidiu Stinga, who had replaced Iwan, so nearly gave Eindhoven a 63rd minute second goal after some fine work on the right which foxed Howey.
Stinga smashed in a fine effort only for Republic of Ireland keeper Given to block the effort with some brave keeping.
Second half substitute Temuri Ketsbaia had a great chance to become the hero for the visitors in the 72nd minute but after beating three defenders he lifted his final effort over the crossbar.
But that was Newcastle's last chance and Eindhoven went on to clinch their first Champions' League victory in nine attempts.
A minute from time United skipper Lee was booked and will also miss the tie between the two sides on Tyneside.
Newcastle 0 PSV Eindhoven 2
Newcastle: Given, Barton, Beresford, Barnes, Ketsbaia, Tomasson, Gillespie, Watson, Hamilton, Pistone, Albert. Subs Not Used: Hislop, Peacock, Crawford, Hughes.
PSV Eindhoven: Waterreus, Vampeta, Stam, Numan, Jonk, Petrovic, Cocu, De Bilde, Nilis, Faber, Iwan. Subs Not Used: Van Ede, Bruggink, Moller, Claudio, Stinga, Temiukov.
Att: 35,214
Newcastle's Champions' League aspirations disappeared in the murky Tyneside mist as two moments of Belgian magic, from strikers Luc Nilis and Gilles De Bilde, enabled PSV Eindhoven to complete a double over Kenny Dalglish's side.
International team-mates De Bilde and Nilis combined to slice open Newcastle's defence in the 34th minute enabling Nilis to beat Shay Given with a cool finish.
And, with seconds remaining, De Bilde sped past Warren Barton, rounded Given, and fired home a deserved second for the visitors whose class always told.
Overall, the Dutch champions' quality shone through as Newcastle, for all their spirited second half efforts, were always left chasing the game.
United were without seven internationals going into this crucial tie - one they badly needed to win - and were forced to make five changes from the side which started in the Philips Stadion two weeks earlier when PSV won 1-0.
PSV had no such problems and went into the tie unchanged but still without international winger Boudewijn Zenden and defender Chris van der Weerden.
After an opening 10 minutes dominated by PSV, Newcastle hit back with a stinging Keith Gillespie drive which curled a foot over Ronald Waterreus' crossbar.
Jon Dahl Tomasson broke well on the left only to be obstructed by PSV skipper Arthur Numan. But Georgian international Temuri Ketsbaia played the ball into the path of the Northern Ireland winger and he blasted a fine right foot effort narrowly over.
Before that promising moment for the Magpies, Wim Jonk and De Bilde had posed problems and Given had to dive low to his left to save Jonk's low ninth-minute drive.
United gradually came more into the tie but were still failing to give Gillespie, their lone ranger up front, any regular support.
Pressure from Watson and Barton down the right forced a mistake from Ernest Faber in the 23rd minute. But Barton, given a shooting opportunity 22 yards out, failed to capitalise miscuing his left foot shot wide.
Gillespie was booked in the 26th minute for a foul on Phillip Cocu, which meant he will be suspended for the tie in Barcelona in three weeks' time after picking up his second yellow card in the competition.
Tomasson then flicked an effort narrowly over, after an error by the highly rated defender Jaap Stam, before the visitors took a deserved lead through Nilis.
Nilis and De Bilde linked neatly on the left edge of the United box before Nilis nonchalantly slipped the ball under the advancing Given from 10 yards.
Gillespie was given a shooting chance early in the second half but he screwed his effort well wide.
United's first shot on target finally arrived in the 48th minute when skipper Barnes curled in a 22 yard free kick which Waterreus palmed over.
Dalglish's half-time words had some effect as Newcastle raised the tempo and Barnes carved out a chance for Watson on the hour.
The former England Under-21 defender broke through the middle to crash a great effort goalwards only for Waterreus to palm over.
Newcastle began to throw more players forward and Hamilton and Barton were finally getting to grips with the midfield.
Watson was only inches away from firing home a 69th minute equaliser. Albert allowed the ball to run on and the defender stroked a fine effort inches wide of the far post.
Albert climbed high inside a crowded PSV six yard box to head only inches past in the 76th minute.
But Newcastle could not force that elusive equaliser and, at the death, De Bilde rubbed salt into home wounds with a fine second for PSV.