NGINX Server block not routing correctly

I have setup an NGINX server with multiple server blocks. I have configured 2 simple websites to run on the same server. They point to two different root paths specified in the respective server block file.

I have updated the DNS details for both the domains:

Name Servers: updated details as per registrar

A records: updated same static IP address

However, when I test with domain2.com in the browser, it redirects to domain1.com. What am I doing wrong? I have already restarted the nginx server using:

sudo systemctl restart nginx

This is how my server block looks like:

# Default server configuration
#
server {

    root /var/www/domain1.com/html;

    # Add index.php to the list if you are using PHP
    index index.php index.html index.htm index.nginx-debian.html;

    server_name domain1.com www.domain1.com;

    location / {
        # First attempt to serve request as file, then
        # as directory, then fall back to displaying a 404.
        # try_files $uri $uri/ =404;
                try_files $uri $uri/ /index.php?q=$uri&$args; 
    }

    # pass PHP scripts to FastCGI server
    #
    location ~ \.php$ {
        include snippets/fastcgi-php.conf;
    #
    #   # With php-fpm (or other unix sockets):
        fastcgi_pass unix:/var/run/php/php7.2-fpm.sock;
    #   # With php-cgi (or other tcp sockets):
    #   fastcgi_pass 127.0.0.1:9000;
    }

    # deny access to .htaccess files, if Apache's document root
    # concurs with nginx's one
    #
    #location ~ /\.ht {
    #   deny all;
    #}

    listen [::]:443 ssl ipv6only=on; # managed by Certbot
    listen 443 ssl; # managed by Certbot
    ssl_certificate /etc/letsencrypt/live/domain1.com/fullchain.pem; # managed by Certbot
    ssl_certificate_key /etc/letsencrypt/live/domain1.com/privkey.pem; # managed by Certbot
    include /etc/letsencrypt/options-ssl-nginx.conf; # managed by Certbot
    ssl_dhparam /etc/letsencrypt/ssl-dhparams.pem; # managed by Certbot


}

server {
    if ($host = www.domain1.com) {
        return 301 https://$host$request_uri;
    } # managed by Certbot


    if ($host = domain1.com) {
        return 301 https://$host$request_uri;
    } # managed by Certbot


    listen 80;
    listen [::]:80;

    server_name domain1.com www.domain1.com;
    return 404; # managed by Certbot

}

This is my second server block file:

# Default server configuration
#
server {
        listen 80;
        listen [::]:80;

    root /var/www/domain2.com/html;

    # Add index.php to the list if you are using PHP
    index index.php index.html index.htm index.nginx-debian.html;

    server_name domain2.com www.domain2.com;

    location / {
        # First attempt to serve request as file, then
        # as directory, then fall back to displaying a 404.
        # try_files $uri $uri/ =404;
                try_files $uri $uri/ /index.php?q=$uri&$args; 
    }

    # pass PHP scripts to FastCGI server
    #
    location ~ \.php$ {
        include snippets/fastcgi-php.conf;
    #
    #   # With php-fpm (or other unix sockets):
        fastcgi_pass unix:/var/run/php/php7.2-fpm.sock;
    #   # With php-cgi (or other tcp sockets):
    #   fastcgi_pass 127.0.0.1:9000;
    }

    # deny access to .htaccess files, if Apache's document root
    # concurs with nginx's one
    #
    #location ~ /\.ht {
    #   deny all;
    #}
}

The same setup works fine on my local virtual machine but not on the actual physical/production server.