The Colombian departed Anfield last summer to sign for Bayern Munich in a £65M deal that many fans regret as the club decided not to bring in a player to fill the gap.
Diaz opened the scoring as the Bundesliga champions secured a 2-1 first-leg advantage over Real Madrid in their Champions League quarter-final tie on Tuesday night, making Liverpool supporters even more envious.
Speaking after the clash, Diaz expressed his delight over joining Bayern as he and his side look towards the Semi Final.
"Deciding to join Bayern was the right choice. I'm really happy and I enjoy every match.
“I feel great, I'm in good shape, and that means I'm ready to help the team. We have a clear plan, we're a very close-knit group, and that shows on the pitch."
Liverpool spent £320M on attacking reinforcements last summer, in the form of Florian Wirtz, Hugo Ekitike and Alexander Isak but failed to replace Diaz whose spot has been taken by 17-year-old Rio Ngumoha who has the weight of the world on his shoulders.
Gerrard misses Diaz
Club legend Steven Gerrard spoke on Diaz earlier this week as well as his teammate Michael Olise who is linked with a move to The Reds this summer.
“But the problem is, why would he (Olise) leave Bayern? A big club, challenging for the big honours, and they are probably the strongest Bayern Munich team we have seen for a while.
“He is about to take the World Cup by storm come the summer. He looks like a really happy kid, settled, to me, I don’t think he’s going anywhere.
“But, yes, would I love him at Liverpool. And you know what, I wouldn’t mind Diaz back as well. I’m missing him, I’m missing him.”