I'm using both the newest versions of Ae and Ps on an M1 Mac with Monterey 12.3. I'd loaded a 5-layer PSD file into Ae and successfully updated a couple of the layers in the original PSD file roughly five times, then it stopped updating. I cleared the memory and cache files and tried Reload Footage with no success. Of course, once I re-imported, everything updated fine. If I can get it to repeat, I'll post again.