Yes, it’s being updated. You can check that by just staying at any point and watch. You can also use mods that can read the weather from the sim (for instance the FBW A32NX can source METARs from the sim).
Because of the forecast nature of the weather model, it is not always conforming to the current real world METARs, but this too has improved lately for me. On my last flight I flew near some thunderstorms that were also present in reality and made the flight I replicated divert from the planned route to evade those.
F92434 (FFT2434) Frontier Flugtracking und Flugverlaufsdaten 28.04.2021 (KTPA-KCLE) - FlightAware