James Beattie, a £4million summer signing from Everton, put the Blades ahead. But Kevin McLeod levelled for the Us just 30 seconds later.
Michael Tonge thought he'd secured a win for the home side after 82 minutes, but Clive Platt netted with a minute to go to earn a point for the visitors.
Another Sheffield-based former Scunthorpe man suffered disappointment, as Brian Laws' Sheffield Wednesday side were thrashed 4-1 at Ipswich.
Alan Lee scored from the spot to put the Tractor Boys ahead after just two minutes, and things didn't get better for the Owls.
Gary Roberts volleyed home nine minutes later, Lee added a second and Pablo Counago put the game out of the visitors' reach before Leon Clarke's consolation.
Palace secured a memorable success at Southampton, with James Scowcroft grabbing a hat-trick.
Clinton Morrison also scored, while Marek Saganowski had briefly given the Saints hope of a comeback.
Leon McKenzie, Kevin Kyle, Julian Gray and Michael Mifsud were all on target as Coventry beat Barnsley 4-1 at Oakwell. Brian Howard scored for the Tykes.
All three newly-promoted clubs picked up points, with Blackpool claiming an impressive win at Leicester.
Keith Southern scored, though the Foxes were angered that the ball wasn't put out of play as they had a player down injured.
Coupled with Scunthorpe drawing at Charlton, Bristol City capped a good day for the Championship new boys as they played out a 2-2 draw with Queens Park Rangers at Ashton Gate.
Rangers' Dexter Blackstock had cancelled Lee Johnson's opener, with Scott Murray scoring a stunning late goal to give the Robins hope of victory.
But Damion Stewart headed home in injury time to give the London side a point.
Promotion-favourites West Brom suffered a surprise 2-1 loss at Burnley, despite taking the lead through Kevin Phillips.
Michael Duff hauled the Clarets level shortly after the break, and Andy Gray converted a late penalty to seal the win.
Former Scunthorpe striker Steve MacLean missed a penalty as Cardiff lost at home to Stoke - with Ryan Shawcross getting the only goal of the game.
Hull lost 3-2 at home to Plymouth Argyle, despite taking a third-minute lead through veteran striker Dean Windass.
David Norris and Rory Fallon struck to ensure Argyle led at the break. Dean Marney levelled from the spot, but Sylvan Ebanks-Blake got the winner after 81 minutes.
Preston North End and Norwich City played out a goalless draw at Deepdale.