No - not out of the box but there’s an easy fix for it.
There was an issue with IWD which was reported and fixed by @Russ and this fix got recently merged into the Appium sources.
I applied the patch to xcode-iwd.sh myself on an installed 1.5.3 release version and re-ran the script. IWD is working fine for me since then with Xcode 7.3.1