So I was in Toys 'R' Us today and played a PS3 ...

[krik]

A few I can think off my head:
Ninja Gaiden Sigma - 1080p/60FPS
Gran Turismo HD - 1080p/60FPS
The Darkness - 1080p/60FPS
Lair - 1080p/30FPS
Warhawk - 720p/60FPS

Future:
MGS4 - 1080p/60FPS
Ratchet - 720p/60FPS (Resistance uses the first generation of the engine and runs at 720p/30FPS, they optimized some parts of the engine for Ratchet but not all)

This means the PS3 can do it. And soon more games will have it but for now developers are still learning the PS3.

Anyway, a console, unlike a PC, is normally an investment for 6-8 years and PlayStation has always been a surprising scalable system. Who would believe God of War 2 was possible to do on the PS2 when it come out? I wouldn't.

PS: I rather have 60FPS and 720p than 30FPS 1080p. 30FPS, especially on a shooter, is stressful on my eyes.