Using classic Outlook for Windows in business environments
Just to cover all bases
#1 - To confirm this again, you can log into this account via the following link using a browser and the same email address used to create the profile - correct? (Am assuming the answer to this is: Yes - just want to be sure
https://account.live.com/Activity
#2 - When you check the Inbox when accessing this mailbox, do you see the Outlook test message given that you were successfully able to create a new profile?
*** the fact that you were able to create the new profile means that the Exchange server was successfully accessed to get the account configuration info.
If this were my system, what I would do is the following
#1 - Rename (or delete) the OST file created by this new profile. That will result in Outlook creating a new OST file the next time it's opened
#3 - Reboot the system just to start off cleanly
#4 - Do a full online repair of Office (this is effectively an uninstall and reinstall of Office)
#5 - Reboot the system again just as a precaution
#6 - Start Outlook with the new Outlook profile and see if the error remains