Jamie Vardy has now scored five goals in his last five Premier League appearances against Arsenal.
But it was not to be.
Two minutes later, the comeback was complete, with super-sub Giroud sending the home fans wild via magnificent header from a Xhaka corner, despite being held by Wes Morgan.
Many observers may have thought Giroud's days at Arsenal were numbered following the arrival of fellow France striker Lacazette from Lyon for a club-record £46.5m fee.
Wenger admitted he had given the former Montpellier man the chance to leave but is delighted he opted to stay put.
Asked if there was any update on Sanchez's situation, Wenger replied: "No". I opened the door for him because I know it's important for him to play but I don't want him to go. In the end he chose to stay and it was one of the great days of the recent weeks for me. "I know how important he is not only as a player but also in the group".
Matsuyama tied for PGA C'ship lead after 2 rounds
But he recovered quickly, draining a 14m birdie bomb at the par-3 13th before backing up with another birdie on the 14th. Weather delays are not uncommon on the PGA Tour and sometimes they can work for and against you.
"To be honest, there was something in my soul and in my heart which told me to stay".
However, Wenger insists that Giroud will remain in north London beyond the end of the transfer window despite being given the opportunity to move on and seek more regular football elsewhere. "It's a determined no".
"We saw it though for 83 minutes", Leicester manager Craig Shakespeare said, "and to concede two late set-plays in the manner we did is obviously hard to take".
"We went for a win and we deservedly earned it".
"I felt that to lose tonight would have been bad for us because we had such good preparation and to sit there in the morning and think we had lost at home would have been awful", he said.
"I feel as well that the goals we conceded, we can work together to get rid of that because one was a corner, one was a ball we lost in the build up and the third goal was on a corner again, so we conceded two goals on corners. We were quite good previous year on corners and overall I believe that with a bit of work we can get that out of the system".