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I have the following layers:

layers

Which look like this:

Now, I want to align the text within the rounded rectangle both horizontally and vertically. However, it seems I can only do it vertically. If I tap the fifth button below:

alignment issue

That is, "Align horizontal centers", the text will be aligned to the artboard itself and not the rounded rectangle.

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I figured it out: you have to select the layer you want to center and then hold CMD on Mac/ CTRL on Win + click on the target layer.

Both layers should look highlighted:

layers selected

Tapping "Align horizontal centers" will now correctly center the text within the shape and not the artboard.

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