Diff for declarative db not working when local stopped

I'm trying to run 'supabase db diff -f name' after adjusting my sql files in schema folder. When i run command i get the message below.

Docs show you should run 'supabase stop' before this command when using declarative schema, and this was true until i tried today on latest CLI. Is this a bug or me doing something funky?

martafda@Martins-MacBook-Pro-2 IBSCA % supabase db diff -f test --local
Connecting to local database...
failed to connect to postgres: failed to connect to host=127.0.0.1 user=postgres database=postgres: dial error (dial tcp 127.0.0.1:54322: connect: connection refused)
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