I just upgraded my WP version and when I set the front page settings in the them options, the Frontpage works, but the blog page does not work, using the blog option in the dynamic template. It just acts like a normal page.
Not pulling in Blog posts from Blog Dynamic Template3 posts from 2 voices
Ah, fixed it, it was the WooCommerce plugin - had to assign some pages.
Glad that you found a solution :)
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