Merging or exporting with a Levels adjustment layer causing strange color issue.

Hi Corey, the layer blending is all Normal. I am not updating to the next version, as this one has been stable. The only preference settings I have are about scratch discs and undo states, so I doubt they are causing the issue.

Here is the infodump:

Adobe Photoshop Version: 21.2.0 20200604.r.225 2020/06/04: 02a81f3015 x64
Number of Launches: 130
Operating System: Windows 10 64-bit
Version: 10 or greater 10.0.19041.3031
System architecture: Intel CPU Family:6, Model:12, Stepping:3 with MMX, SSE Integer, SSE FP, SSE2, SSE3, SSE4.1, SSE4.2, AVX, AVX2, HyperThreading
Physical processor count: 4
Logical processor count: 8
Processor speed: 3598 MHz
Built-in memory: 32711 MB
Free memory: 20969 MB
Memory available to Photoshop: 29955 MB
Memory used by Photoshop: 70 %
ACP.local Status:
- SDK Version: 1.30.8.3
- Core Sync Status: Reachable and compatible
- Core Sync Running: 5.17.9.1
- Min Core Sync Required: 4.3.4.2
ACPL Cache Config:
- Time to Live: 5184000 seconds
- Max Size: 20480 MB
- Purge Percentage: 50%
- Threshold Percentage: 85%
- Purge Interval: 60 seconds
Manta Canvas: Disabled.
Alias Layers: Disabled.
Modifier Palette: Disabled.
Highbeam: Enabled.
Image tile size: 1024K
Image cache levels: 2
Font Preview: Medium
TextComposer: Latin
Display: 1
Display Bounds: top=0, left=0, bottom=1080, right=1920
OpenGL Drawing: Enabled.
OpenGL Allow Old GPUs: Not Detected.
OpenGL Drawing Mode: Advanced
OpenGL Allow Normal Mode: True.
OpenGL Allow Advanced Mode: True.
AIFCoreInitialized=1
AIFOGLInitialized=1
OGLContextCreated=1
NumGLGPUs=1
NumCLGPUs=1
NumNativeGPUs=1
glgpu[0].GLVersion="2.1"
glgpu[0].IsIntegratedGLGPU=0
glgpu[0].GLMemoryMB=8038
glgpu[0].GLName="NVIDIA GeForce RTX 3060 Ti/PCIe/SSE2"
glgpu[0].GLVendor="NVIDIA Corporation"
glgpu[0].HasGLNPOTSupport=1
glgpu[0].CanCompileProgramGLSL=1
glgpu[0].GLFrameBufferOK=1
clgpu[0].CLPlatformVersion="OpenCL 3.0 CUDA"
clgpu[0].CLDeviceVersion="3.0"
clgpu[0].IsIntegratedCLGPU=0
clgpu[0].CLMemoryMB=8589
clgpu[0].CLName="NVIDIA GeForce RTX 3060 Ti"
clgpu[0].CLVendor="NVIDIA Corporation"
clgpu[0].CLBandwidth=3.370000e+11
clgpu[0].CLCompute=7694.675285
nativegpu[0].NativeName="9353:NVIDIA GeForce RTX 3060 Ti"
License Type: Subscription
Serial number: 96040870208173537156
GUIDBucket:Composite Core (enable_composite_core): onComposite Core GPU (comp_core_gpu): offComposite Core UI (comp_core_ui): offDocument Graph (enable_doc_graph): off
Application folder: C:\Program Files\Adobe\Adobe Photoshop 2020\
Temporary file path: D:\Temp\
Photoshop scratch has async I/O enabled
Scratch volume(s):
E:\, 1.82T, 281.9G free
D:\, 1.82T, 204.9G free
Required Plug-ins folder: C:\Program Files\Adobe\Adobe Photoshop 2020\Required\Plug-ins\
Primary Plug-ins folder: C:\Program Files\Adobe\Adobe Photoshop 2020\Plug-ins\

Installed components:
A3DLIBS.dll A3DLIB Dynamic Link Library 9.2.0.112
ACE.dll ACE 2020/05/06-01:42:24 79.620289 79.620289
AdbePM.dll PatchMatch 2020/05/26:23:18:05 1.620877 1.620877
AdobeLinguistic.dll Adobe Linguisitc Library 14.0.0.0
AdobeOwl.dll Adobe Owl 5.5.0
AdobePDFL.dll PDFL 2020/05/07-01:07:42 79.382206 79.382206
AdobePIP.dll Adobe Product Improvement Program 8.1.0.68.49183
AdobeSVGAGM.dll AdobeSVGAGM 79.620289 79.620289
AdobeXMP.dll Adobe XMP Core 2020/05/12-16:04:17 79.164460 79.164460
AdobeXMPFiles.dll Adobe XMP Files 2020/05/12-16:04:17 79.164460 79.164460
AdobeXMPScript.dll Adobe XMP Script 2020/05/12-16:04:17 79.164460 79.164460
adobe_caps.dll Adobe CAPS 10,0,0,6
AGM.dll AGM 2020/05/06-01:42:24 79.620289 79.620289
ahclient.dll AdobeHelp Dynamic Link Library 4.1.0.0
AID.dll AID DLL 1.0.0.7
AIDE.dll AIDE 2020/05/13-01:07:45 79.620495 79.620495
ARE.dll ARE 2020/05/06-01:42:24 79.620289 79.620289
AXE8SharedExpat.dll AXE8SharedExpat 2020/04/29-19:51:01 79.620005 79.620005
AXEDOMCore.dll AXEDOMCore 2020/04/29-19:51:01 79.620005 79.620005
Bib.dll BIB 2020/05/06-01:42:24 79.620289 79.620289
BIBUtils.dll BIBUtils 2020/05/06-01:42:24 79.620289 79.620289
boost_date_time.dll photoshopdva 12.1.0
boost_filesystem.dll photoshopdva 12.1.0
boost_system.dll photoshopdva 12.1.0
boost_threads.dll photoshopdva 12.1.0
CoolType.dll CoolType 2020/05/06-01:42:24 79.620289 79.620289
CRClient.dll Adobe Crash Reporter Client DLL 3.0.2.0
dnssd.dll Bonjour 3,0,0,2
dvaaccelerate.dll photoshopdva 12.1.0
dvaappsupport.dll photoshopdva 12.1.0
dvaaudiodevice.dll photoshopdva 12.1.0
dvacore.dll photoshopdva 12.1.0
dvacrashhandler.dll Adobe Audition CC 2017 10.0.0
dvamarshal.dll photoshopdva 12.1.0
dvamediatypes.dll photoshopdva 12.1.0
dvametadata.dll photoshopdva 12.1.0
dvametadataapi.dll photoshopdva 12.1.0
dvametadataui.dll photoshopdva 12.1.0
dvaplayer.dll photoshopdva 12.1.0
dvascripting.dll photoshopdva 12.1.0
dvatransport.dll photoshopdva 12.1.0
dvaui.dll photoshopdva 12.1.0
dvaunittesting.dll photoshopdva 12.1.0
dynamic-torqnative.dll Universal Extensibility Platform uxp-3.8.0.41
dynamiclink.dll photoshopdva 12.1.0
ExtendScript.dll ExtendScript 2019/07/29-10:07:31 82.2 82.2
icucnv64.dll International Components for Unicode Build gtlib_12.0.24171
icudt64.dll International Components for Unicode Build gtlib_12.0.24171
icuuc64.dll International Components for Unicode Build gtlib_12.0.24171
igestep30.dll IGES Reader 9.3.0.113
JP2KLib.dll JP2KLib 2020/04/28-11:43:26 79.274989 79.274989
libifcoremd.dll Intel(r) Visual Fortran Compiler 10.0 (Update A)
libiomp5md.dll Intel(R) OpenMP* Runtime Library 5.0
libmmd.dll Intel(R) C/C++/Fortran Compiler 19.0.0
LogSession.dll LogSession 8.1.0.68.49183
mediacoreif.dll photoshopdva 12.1.0
MPS.dll MPS 2020/05/06-01:42:24 79.620254 79.620254
pdfsettings.dll Adobe PDFSettings 1.07
Photoshop.dll Adobe Photoshop 2020 21.2
Plugin.dll Adobe Photoshop 2020 21.2
PlugPlugExternalObject.dll Adobe(R) CEP PlugPlugExternalObject Standard Dll (64 bit) 9.4.0
PlugPlugOwl.dll Adobe(R) CSXS PlugPlugOwl Standard Dll (64 bit) 9.4.0.146
PSCloud.dll 1.0.0.1
PSViews.dll Adobe Photoshop 2020 21.2
ScCore.dll ScCore 2019/07/29-10:07:31 82.2 82.2
SVGRE.dll SVGRE 79.620289 79.620289
svml_dispmd.dll Intel(R) C/C++/Fortran Compiler 19.0.0
tbb.dll Intel(R) Threading Building Blocks for Windows 2019, 0, 2019, 0410
tbbmalloc.dll Intel(R) Threading Building Blocks for Windows 2019, 0, 2019, 0410
TfFontMgr.dll FontMgr 9.3.0.113
TfKernel.dll Kernel 9.3.0.113
TFKGEOM.dll Kernel Geom 9.3.0.113
TFUGEOM.dll Adobe, UGeom© 9.3.0.113
VulcanControl.dll Vulcan Application Control Library 6.0.0.14
VulcanMessage5.dll Vulcan Message Library 6.0.0.14
WinRTSupport.dll Adobe Photoshop Windows RT Support 21.0.0.0
wu3d.dll U3D Writer 9.3.0.113
Unified Extensibility Platform uxp-3.8.0.41

Required plug-ins:

Accented Edges 21.2 - from the file “Filter Gallery.8bf”
Adaptive Wide Angle 21.2 - from the file “Adaptive Wide Angle.8bf”
Angled Strokes 21.2 - from the file “Filter Gallery.8bf”
Average 21.2 (20200604.r.225 2020/06/04: 02a81f3015) - from the file “Average.8bf”
Bas Relief 21.2 - from the file “Filter Gallery.8bf”
BMP 21.2 - from the file “Standard MultiPlugin.8bf”
Camera Raw 12.3 - from the file “Camera Raw.8bi”
Camera Raw Filter 12.3 - from the file “Camera Raw.8bi”
Chalk && Charcoal 21.2 - from the file “Filter Gallery.8bf”
Charcoal 21.2 - from the file “Filter Gallery.8bf”
Chrome 21.2 - from the file “Filter Gallery.8bf”
Cineon 21.2 (20200604.r.225 2020/06/04: 02a81f3015) - from the file “Cineon.8bi”
Clouds 21.2 (20200604.r.225 2020/06/04: 02a81f3015) - from the file “Clouds.8bf”
Color Halftone 21.2 - from the file “Standard MultiPlugin.8bf”
Colored Pencil 21.2 - from the file “Filter Gallery.8bf”
Conté Crayon 21.2 - from the file “Filter Gallery.8bf”
Craquelure 21.2 - from the file “Filter Gallery.8bf”
Crop and Straighten Photos 21.2 (20200604.r.225 2020/06/04: 02a81f3015) - from the file “CropPhotosAuto.8li”
Crop and Straighten Photos Filter 21.2 - from the file “Standard MultiPlugin.8bf”
Crosshatch 21.2 - from the file “Filter Gallery.8bf”
Crystallize 21.2 - from the file “Standard MultiPlugin.8bf”
Cutout 21.2 - from the file “Filter Gallery.8bf”
Dark Strokes 21.2 - from the file “Filter Gallery.8bf”
De-Interlace 21.2 - from the file “Standard MultiPlugin.8bf”
Dicom 21.2 - from the file “Dicom.8bi”
Difference Clouds 21.2 (20200604.r.225 2020/06/04: 02a81f3015) - from the file “Clouds.8bf”
Diffuse Glow 21.2 - from the file “Filter Gallery.8bf”
Displace 21.2 - from the file “Standard MultiPlugin.8bf”
Dry Brush 21.2 - from the file “Filter Gallery.8bf”
Eazel Acquire 21.2 (20200604.r.225 2020/06/04: 02a81f3015) - from the file “EazelAcquire.8ba”
Entropy 21.2 (20200604.r.225 2020/06/04: 02a81f3015) - from the file “statistics.8ba”
Export Color Lookup Tables 21.2 (20200604.r.225 2020/06/04: 02a81f3015) - from the file “Export3DLUT.8be”
Extrude 21.2 - from the file “Standard MultiPlugin.8bf”
FastCore Routines 21.2 (20200604.r.225 2020/06/04: 02a81f3015) - from the file “FastCore.8bx”
Fibers 21.2 - from the file “Standard MultiPlugin.8bf”
Film Grain 21.2 - from the file “Filter Gallery.8bf”
Filter Gallery 21.2 - from the file “Filter Gallery.8bf”
Fresco 21.2 - from the file “Filter Gallery.8bf”
Glass 21.2 - from the file “Filter Gallery.8bf”
Glowing Edges 21.2 - from the file “Filter Gallery.8bf”
Grain 21.2 - from the file “Filter Gallery.8bf”
Graphic Pen 21.2 - from the file “Filter Gallery.8bf”
Halftone Pattern 21.2 - from the file “Filter Gallery.8bf”
Halide Bottlenecks 21.2 (20200604.r.225 2020/06/04: 02a81f3015) - from the file “HalideBottlenecks.8bx”
HDRMergeUI 21.2 - from the file “HDRMergeUI.8bf”
HSB/HSL 21.2 - from the file “Standard MultiPlugin.8bf”
IFF Format 21.2 - from the file “Standard MultiPlugin.8bf”
IGES 21.2 (20200604.r.225 2020/06/04: 02a81f3015) - from the file “U3D.8bi”
Ink Outlines 21.2 - from the file “Filter Gallery.8bf”
JPEG 2000 21.2 - from the file “JPEG2000.8bi”
Kurtosis 21.2 (20200604.r.225 2020/06/04: 02a81f3015) - from the file “statistics.8ba”
Lens Blur 21.2 - from the file “Lens Blur.8bf”
Lens Correction 21.2 - from the file “Lens Correction.8bf”
Lens Flare 21.2 - from the file “Standard MultiPlugin.8bf”
Liquify 21.2 - from the file “Liquify.8bf”
Matlab Operation 21.2 (20200604.r.225 2020/06/04: 02a81f3015) - from the file “ChannelPort.8bf”
Maximum 21.2 (20200604.r.225 2020/06/04: 02a81f3015) - from the file “statistics.8ba”
Mean 21.2 (20200604.r.225 2020/06/04: 02a81f3015) - from the file “statistics.8ba”
Measurement Core 21.2 (20200604.r.225 2020/06/04: 02a81f3015) - from the file “MeasurementCore.8me”
Median 21.2 (20200604.r.225 2020/06/04: 02a81f3015) - from the file “statistics.8ba”
Mezzotint 21.2 - from the file “Standard MultiPlugin.8bf”
Minimum 21.2 (20200604.r.225 2020/06/04: 02a81f3015) - from the file “statistics.8ba”
MMXCore Routines 21.2 (20200604.r.225 2020/06/04: 02a81f3015) - from the file “MMXCore.8bx”
Mosaic Tiles 21.2 - from the file “Filter Gallery.8bf”
Multiprocessor Support 21.2 (20200604.r.225 2020/06/04: 02a81f3015) - from the file “MultiProcessor Support.8bx”
Neon Glow 21.2 - from the file “Filter Gallery.8bf”
Note Paper 21.2 - from the file “Filter Gallery.8bf”
NTSC Colors 21.2 (20200604.r.225 2020/06/04: 02a81f3015) - from the file “NTSC Colors.8bf”
Ocean Ripple 21.2 - from the file “Filter Gallery.8bf”
OpenEXR 21.2 - from the file “Standard MultiPlugin.8bf”
Paint Daubs 21.2 - from the file “Filter Gallery.8bf”
Palette Knife 21.2 - from the file “Filter Gallery.8bf”
Patchwork 21.2 - from the file “Filter Gallery.8bf”
Paths to Illustrator 21.2 - from the file “Standard MultiPlugin.8bf”
PCX 21.2 (20200604.r.225 2020/06/04: 02a81f3015) - from the file “PCX.8bi”
Photocopy 21.2 - from the file “Filter Gallery.8bf”
Picture Package Filter 21.2 (20200604.r.225 2020/06/04: 02a81f3015) - from the file “ChannelPort.8bf”
Pinch 21.2 - from the file “Standard MultiPlugin.8bf”
Pixar 21.2 (20200604.r.225 2020/06/04: 02a81f3015) - from the file “Pixar.8bi”
Plaster 21.2 - from the file “Filter Gallery.8bf”
Plastic Wrap 21.2 - from the file “Filter Gallery.8bf”
Pointillize 21.2 - from the file “Standard MultiPlugin.8bf”
Polar Coordinates 21.2 - from the file “Standard MultiPlugin.8bf”
Portable Bit Map 21.2 (20200604.r.225 2020/06/04: 02a81f3015) - from the file “PBM.8bi”
Poster Edges 21.2 - from the file “Filter Gallery.8bf”
PRC 21.2 (20200604.r.225 2020/06/04: 02a81f3015) - from the file “U3D.8bi”
Radial Blur 21.2 - from the file “Standard MultiPlugin.8bf”
Radiance 21.2 (20200604.r.225 2020/06/04: 02a81f3015) - from the file “Radiance.8bi”
Range 21.2 (20200604.r.225 2020/06/04: 02a81f3015) - from the file “statistics.8ba”
Render Color Lookup Grid 21.2 (20200604.r.225 2020/06/04: 02a81f3015) - from the file “Export3DLUT.8be”
Reticulation 21.2 - from the file “Filter Gallery.8bf”
Ripple 21.2 - from the file “Standard MultiPlugin.8bf”
Rough Pastels 21.2 - from the file “Filter Gallery.8bf”
Save for Web 21.2 - from the file “Save for Web.8be”
ScriptingSupport 21.2 - from the file “ScriptingSupport.8li”
Shake Reduction 21.2 - from the file “Shake Reduction.8bf”
Shear 21.2 - from the file “Standard MultiPlugin.8bf”
Skewness 21.2 (20200604.r.225 2020/06/04: 02a81f3015) - from the file “statistics.8ba”
Smart Blur 21.2 - from the file “Standard MultiPlugin.8bf”
Smudge Stick 21.2 - from the file “Filter Gallery.8bf”
Solarize 21.2 (20200604.r.225 2020/06/04: 02a81f3015) - from the file “Solarize.8bf”
Spaces 21.2 - from the file “Spaces.8li”
Spatter 21.2 - from the file “Filter Gallery.8bf”
Spherize 21.2 - from the file “Standard MultiPlugin.8bf”
Sponge 21.2 - from the file “Filter Gallery.8bf”
Sprayed Strokes 21.2 - from the file “Filter Gallery.8bf”
Stained Glass 21.2 - from the file “Filter Gallery.8bf”
Stamp 21.2 - from the file “Filter Gallery.8bf”
Standard Deviation 21.2 (20200604.r.225 2020/06/04: 02a81f3015) - from the file “statistics.8ba”
Sumi-e 21.2 - from the file “Filter Gallery.8bf”
Summation 21.2 (20200604.r.225 2020/06/04: 02a81f3015) - from the file “statistics.8ba”
Targa 21.2 - from the file “Standard MultiPlugin.8bf”
Texturizer 21.2 - from the file “Filter Gallery.8bf”
Tiles 21.2 - from the file “Standard MultiPlugin.8bf”
Torn Edges 21.2 - from the file “Filter Gallery.8bf”
Twirl 21.2 - from the file “Standard MultiPlugin.8bf”
U3D 21.2 (20200604.r.225 2020/06/04: 02a81f3015) - from the file “U3D.8bi”
Underpainting 21.2 - from the file “Filter Gallery.8bf”
Vanishing Point 21.2 - from the file “VanishingPoint.8bf”
Variance 21.2 (20200604.r.225 2020/06/04: 02a81f3015) - from the file “statistics.8ba”
Water Paper 21.2 - from the file “Filter Gallery.8bf”
Watercolor 21.2 - from the file “Filter Gallery.8bf”
Wave 21.2 - from the file “Standard MultiPlugin.8bf”
WIA Support 21.2 (20200604.r.225 2020/06/04: 02a81f3015) - from the file “WIASupport.8li”
Wind 21.2 - from the file “Standard MultiPlugin.8bf”
Wireless Bitmap 21.2 (20200604.r.225 2020/06/04: 02a81f3015) - from the file “WBMP.8bi”
ZigZag 21.2 - from the file “Standard MultiPlugin.8bf”

Optional and third party plug-ins: NONE

Duplicate and Disabled plug-ins: NONE

Plug-ins that failed to load: NONE

Unified Extensibility Platform - Extensions:

com.adobe.ccx.start 3.5.0.95 - from the file "C:\Program Files\Common Files\Adobe/UXP/Extensions\com.adobe.ccx.start-3.5.0\"
CDO: 1.68.5
CmdN: 1.4.11
CDP: 1.95.4
com.adobe.photoshop.exportAs 0.1.0.0 - from the file "C:\Program Files\Adobe\Adobe Photoshop 2020\Required\UXP/\com.adobe.photoshop.exportAs\"

com.adobe.photoshop.personalization 1.0.0.0 - from the file "C:\Program Files\Adobe\Adobe Photoshop 2020\Required\UXP/\com.adobe.photoshop.personalization\"

Extensions:

Libraries 1.0.0 - from the file “C:\Program Files\Common Files\Adobe\CEP\extensions\CC_LIBRARIES_PANEL_EXTENSION_3_13_164\index.html”
com.adobe.stock.panel.licensing 0.1.0 - from the file “C:\Program Files\Adobe\Adobe Photoshop 2020\Required\CEP\extensions\com.adobe.stock.panel.licensing\index.html”
New Document 3.5.0 - from the file “C:\Program Files (x86)\Common Files\Adobe\CEP\extensions\com.adobe.ccx.fnft-3.5.0\fnft.html?v=3.5.0.4”
Home 2.16.0 - from the file “C:\Program Files (x86)\Common Files\Adobe\CEP\extensions\com.adobe.ccx.start-2.16.0\index.html?v=2.16.0.8”
com.adobe.capture.extension 1.0.0 - from the file “C:\Program Files\Common Files\Adobe\CEP\extensions\CC_LIBRARIES_PANEL_EXTENSION_3_13_164\extensions\capture\capture.html”
com.adobe.stock.panel.licensing-embedded 1.0.0 - from the file “C:\Program Files\Common Files\Adobe\CEP\extensions\CC_LIBRARIES_PANEL_EXTENSION_3_13_164\extensions\stock-panel-licensing\index.html”
Adobe Color Themes 6.1.0 - from the file “C:\Program Files\Adobe\Adobe Photoshop 2020\Required\CEP\extensions\com.adobe.KulerPanel.html\index.html”
Export As 4.8.12 - from the file “C:\Program Files\Adobe\Adobe Photoshop 2020\Required\CEP\extensions\com.adobe.photoshop.crema\index.html”
Export As 4.8.12 - from the file “C:\Program Files\Adobe\Adobe Photoshop 2020\Required\CEP\extensions\com.adobe.photoshop.crema\index.html”
com.adobe.cclibraries.manager 1.0.0 - from the file “C:\Program Files\Common Files\Adobe\CEP\extensions\CC_LIBRARIES_PANEL_EXTENSION_3_13_164\manager.html”

Installed TWAIN devices: NONE

Hi @Randy30997416n2hy curious what the blending options are before you merge the layers?  Does this happen if you update to Ps 24.6?

Let's make sure we're in a default state and there are no stale settings somewhere: 

Restore your preferences using this manual method:  

https://helpx.adobe.com/photoshop/using/preferences.html#Manually  

Does it work correctly? 

If that doesn't solve it, you can quit Photoshop and put the Settings folder back. 

It may help if we could see your Photoshop System Info. Launch Photoshop, and select Help >System Info...and copy/paste the text in a reply.