Does the "new" email have spelling auto correct features?

Spell check is the last item on the edit bar "abc✔". It is not automatic. You click it when you are done and errors are underlined.

ℬ ℋ

Just use Firefox and in the Options, Advanced tab. Check the box for "check my spelling as I type" and firefox automatically underlines incorrect words as you type in any form or input box. Then just right click the word and select a correction like like in any office product.