The weapons fall, bounce/slide ever so slightly and spark on impact while the grenade rolls. The Spartan fall animation is excellent, showcasing proper weight.
There's nothing remotely last gen screaming about either the game's geometry or physics. You can see intricate model detail on objects like the warthog, right down to the suspension and and other small details such as the wheels. This level of detail is present in many parts of the game. The physics are the way they are for the purpose of the game, and there are plenty of examples that showcases the game's physics are actually rather good. You can really see the warthog suspension changing and adjusting to the terrain it's moving on. And just what is your definition of next-gen physics for a videogame focused on fighting aliens and other super soldiers anyway? The game even has individual, piece by piece destruction of vehicles.
As far as the texture work is concerned, why wouldn't people be impressed? The quality, richness and variety on display are insane. It doesn't appear as if there is a single texture anywhere in the entire game that doesn't look unbelievable. The game's performance is also fantastic, it has incredible lighting, great atmospherics and visual effects, stunning attention to detail. Literally every thing is readable down to the smallest of decals or product labeling. Insignificant objects are packing really nice geometry and detail. So, yea, I couldn't disagree with you more, this game looks unbelievable, one of the best I've seen, and it's only just the MP. What the hell is the Campaign going to look like then?