I imagine setting the closest layer (Ie the one on top of the other) to something like Soft Light would do the trick you're looking for. I'm not entirely confident that Soft Light would be the one, but just scan through all of the options until you come up with the desired effect.

If you don't know where to find this by the way, it's in a drop down box on the layers pallet right above the layer you have highlighted in that picture, where it says "Normal".

Also, it's been a while since I did something similar but from what I remember, sometimes having effects on a layer causes it to not do anything when you do the above, to fix this (if it happens) you'll need to rasterize the layer (Right click it, or go up to Layer>Rasterize>Type (I think)). Make sure you're happy with its size first though, because when you do this it makes that layer an image and you won't be able to edit the text anymore and it may get a bit choppy when moved around a bit.


Holy fuck I'm a helpful dashing bastard.