Yes, postgresql does support full text indexing / searching.
There are now three packages in the /contrib directory to allow for this, the older fulltextindex, tsearch, and tsearch2.
On top of this there's another system to abstract out the full text searching called fts.
You can see fts in action at fts.postgresql.org, where it provides very speedy searches of all the mailing lists for postgresql for the past several years.
Jeremy, by the way, is a bit of a cheerleader, but he does do some nice work. I don't think he's all that knowledgable about real database issues though as evidenced by much of his writing about why MySQL is all you'll ever need.