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Styling with Markdown is supported
05 March 2019 Reply
The documentation is available from here: https://docs.microsoft.com/en-us/previous-versions/windows/internet-explorer/ie-developer/general-info/ee330730%28v%3dvs.85%29. It doesn't mention anything about Windows 10, but then it hasn't been updated for years.
I thought Outlook has had its own HTML renderer for many versions now so I'm surprised setting this option for that process would work at all.