Heavenly Sword, no doubt about it. Certain segments contain some of the best video gaming I\'ve ever experienced (making good use of the six-axis no less) along with most of the rest being just plain cool and thoroughly enjoyable.
I gameflyed Folklore. While I found the storyline intriguing and the battle system somewhat decent, the constant loading between severely tiny areas and in between numerous cut scenes made it for me intolerable after only an hour or two. If I need a RPG to play I still have the bulk of FFXII to finish, which suffers from neither of those issues and has graphics nearly on par with Folklore.