The Blues got the better of Crystal Palace 2-1 at Stamford Bridge to reduce the gap between themselves and leaders Arsenal to two points, with City a point behind them in third.
"Yeah, it was a little bit," Sky Sports News quotes the centre-back as saying when asked if the Gunners' loss on Saturday has given them extra boost.
"We caught the result and it was pleasing for us to pick up three points. We now go away to Arsenal with a chance to go top of the table, so that is enough for us as a team collectively to have enough motivation over Christmas.
"At the minute we are grinding out results," added Terry. "Ideally we would like it to be a bit more comfortable, especially at home, but teams are coming here and showing a lot of belief at the moment. I think we are seeing that throughout the whole Premier League."