The 22 year old DR Congo international, whose PSG contract expires in the summer, had initially expressed a desire to move to the Premier League strugglers.
PSG coach Paul Le Guen confirmed the situation.
"He went there to talk about his transfer. But apparently, he is coming back as talks have fallen through," Le Guen said
"Youssouf will join back the group without any trouble. I didn't want an unhappy player with us, but I am finally happy he is back."