Answer
Yes
Work Step by Step
Consider $ |\cos \dfrac{1}{y}| \leq 1, |x \cos \dfrac{1}{y}| \leq x$
$\implies 0 \leq |x \cos \dfrac{1}{y}| \leq |x|$
Since, by the Squeeze Theorem $\lim\limits_{(x,y) \to (0,0) }|x \cos \dfrac{1}{y}| =0 $
and $\lim\limits_{(x,y) \to (0,0) } x \cos (\dfrac{1}{y})=0$
Yes, by the Squeeze Theorem the limit for $\lim\limits_{(x,y) \to (0,0) } x \cos (\dfrac{1}{y})=0$ .