When I block a sender in outlook, emails from that sender does not go into junk folder

When I block a sender in outlook, emails from that sender does not go into
junk folder

In outlook, I can right click an item in my inbox and block the sender.
What I expect then is that all emails from that sender should immediately
go into the junk folder.
I have junk email alternatives setup as: No automatic filtering: email
from blocked senders are still moved to the junk folder.
This statements fails to be true, when I block a sender, none of my
emails, present or in the future are moved to the junk folder.
What did I misunderstand?