Broken RR?

Does Postgres garantee repeatable-read (RR) during transactions? And does it 
implement ARIES/KVL?

If so, why is the following possible?

T1: begin;
T1: select * from table;  (notice the row with id = X)
T2: begin;
T2: delete from table where id = X;
T1: select * from table;  (notice the row with id = X suddenly is gone)

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