Art. Until you see the movie - your opinions as to how the relationships in the film lack any credibility. The saddest part of your "argument" is that you're "crying" homophobia based on hearsay - not first hand experience.
It's not sterile or toned down at all. Again - I've seen the film. It's definitely obvious they are a couple by several long lingering glances - their scene playing around manhattan, the funeral scene, etc.
Putting a male-male sex scene would be completely fabricating a plot element and would be worse because it would a) undermine their relationship as it was WRITTEN b) be added simply to be gratuitous which is also worse and c) be irrelevent to the story line.
You want to discount the stage production and only talk about the film but you can't here buddy. Because the film version is a pretty darn faithful adaptation.
The only thing you might/could whine about is the cutting of "contact" - which IS a very sexual #.. But you'd have little argument because to include it would probably boost the rating to an R (which would kill a huge audience for the film) and the song isn't all that important to the plot.
Sadly - you're argument is all bark and no bite.
"A little nonsense now and then is relished by the wisest men" - Willy Wonka