I am preparing for a recreational gran fondo on hilly terrain.
I have been following AI’s suggested training rides for several weeks now. I feel that fitness is improving. What worries me: my FTP does not change anything! Is this normal? What am I doing wrong (in the settings?)?
What does your Forecast Chart look like on the Training page?
What are your Event settings under Program?
The XFAI Setup Guide serves as a wizard to fill out the Program dialog box entries.
Setup Guide – 
Program dialog box – 
In your case Event Readiness (3 - Fair) and Max Weekly Hours (10) on the Setup Guide have capped TL and predicted increases in signature values.
There are a couple ways you can handle this situation but it will require increasing your hours (assuming that is feasible) and recasting your plan. This also means the Start date of the new plan will be today.
Option A: Go to the Setup Guide and bump up your Max Hours a bit until you see Readiness change to 2 - Good. If the increase is feasible, recast the plan with Run Forecast AI button. For example, increase from 10 to 11 or possibly 12 hours if you think that is a realistic number for you. If no lowering the Readiness value, proceed to Option B.
Option B: Go to Program dialog box and change Target Type from Event to Goal. You should see Mixed GC Specialist listed and below that a box to enter a Target Focus Power. Enter a value a few watts higher than your current GC Specialist watts. As you do that watch what happens to the Current vs Target TL on the right. That’s equivalent to raising your weekly hours. If the increase seems realistic to you, recast the plan with Run Forecast AI button.
The above options assume you haven’t configured Availability to cap your weekly hours at 10.
If so, edit Availability keeping in mind the increase required could be as simple as riding long one day a week. Anything that will raise TL between now and your event.
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Perhaps the more basic reason is just signature decay and lack of breakthroughs… the new decay approach should limit decay after some time, so soon it should start going up with your training load as you would expect…
Or, if you feel fresh, go for a breakthrough to see where you are really at 
Many thanks for taking a closer look at my settings!
I brought the training hours to 10.5hrs and the ‘Event duration’ to 5.15hrs (which is more realistic).
Event readiness= 2
Totam XSS is now:289.
Now my FTP indeed goes from 194 to 198.
Thanks again.
As a side comment - most often the day-to-day changes in Threshold are going to be very minimal… often less than 1 W increase, even if you’re training every day.
However - assuming your Training Load is going up over time - you should start to see the accumulation of those minuscule day-to-day increases when looking over larger blocks of consistent training. 1% better per day might not seem like much, but 100 days of 1% better every day is! Kinda like the concept of marginal gains 