I just noticed that InDesign CS5 is not honoring the blending mode of a layer in my placed photoshop file. It is honoring the opacity, but changing the mode to anything makes no difference in the appearance when placed in InDesign, as if the mode is just set to normal (and not multiply for example).
Did I miss a setting somewhere, or is this intended or a bug?
Normal, unfortunately. ID honors a few blending modes, I think, but not all. Save a flattened copy and place that.