[Galadriel55]

Returning to the original question, though, I think that Tolkien didn't mean to hint anything sexual. The way I understood it, that moment was simply an embrace, nothing serious. You see similar things in other relationships that were entioned above - Faramir kissed Eowyn before marying her, and Sam most likely hugged Rosie. Aragorn and Arwen, being what they are, ost likely did not express their feelings in public, but there was also Arwen's dilemma of who to become - elf or human. I'm guessing that she didn't allow herself to physically express her love for Aragorn until she finally made the choice.