Cureton and Iwelumo both struck in the first half to boost their personal tally to 13 goals apiece, with a combined total of 26 goals netted from 26 matches.
Wolves had won their last three away games, but they were powerless to prevent the U's from storming into a fourth minute lead.
The Essex Club never looked back from the moment that Cureton broke the deadlock, chalking up their 11th home victory on the bounce.
Cureton won the free-kick from which he scored. He picked himself up after being fouled by defender Neill Collins and proceeded to crack his free-kick through the defensive wall and past keeper Matt Murray.
The overworked Murray had denied Cureton after only 20 seconds when saving down at his near post, and he also made excellent block to thwart both Richard Garcia and Kevin McLeod inside a frenetic first 15 minutes.
Wolves weathered the storm and almost grabbed an equaliser on 26 minutes. Lone striker Leon Clarke headed goalwards from Mark Little's cross, but Dean Gerken managed to palm the ball to safety.
The visitors had most of the possession, but Colchester always looked dangerous on the break and they duly doubled their lead in the last minute of the first half.
Iwelumo latched on to a clearance from keeper Gerken and, although the ball appeared to brush his hand, the big Scotsman was soon bearing down on goal, shrugging off the challenge of defender Gary Breen to beat keeper Murray with a low drive.
Wolves had a series of half chances early in the second half and midfielder Seyi George Olofinjana was guilty of missing twice from close in. He scuffed wide from a cross by Rohan Ricketts and was then unable to convert Michael McIndoe's free-kick from point-blank range.
The Midlanders finally reduced the arrears, but Collins' goal came far too late for Mick McCarthy's men to mount a rally.
Collins bundled the ball home from close in after the home side had failed to deal with a free-kick, but by then the match had already entered injury time.
Wolves hardly had time to mount another attack as buoyant Colchester held on to continue their amazing home form.
Geraint Williams' side lost their first two home games of the season, but have won every one of them since.