Problem

In termianl (outside vscode), pyenv local version overwrites pyenv global version, which is correct.

In vscode's terminal, the pyenv global version overwrites the pyenv local version, which is wrong.

Solution

1. In vscode's settings, search for "python environment"
2. Find "Python > Terminal: Activate Environment"

1. uncheck the box.

2. restart vscode.

3. It may show a warning in the vscode's terminal, follow that.