A family of Microsoft spreadsheet software with tools for analyzing, charting, and communicating data.
Yes! It sees a space as a blank. I consider this is a bug but try the following work around.
Select "Use a formula to determine which cells to format"
Enter the following formula where A1 is the first cell in the "Applies to" range (ie. the range for the conditional formatting). Ensure that you include the leading equals sign.
=ISBLANK(A1)