wp_list_bookmarks display

Not extremely elegant, but should work…

$sep = " | ";
$args = array(
    'before'=>'',
    'after'=>$sep,
    'category_after'=>'',
    'category_before'=>'',
    'title_li'=>'',
    'echo'=>0     //return the string, don't echo
);
$str = wp_list_bookmarks($args);
//chop off the last separator...
$str = substr($str, 0, strlen($str) - strlen($sep));
echo $str;

EDIT —
I added before and after to the $args array — these are actually what _walk_bookmarks() uses before and after each link.