Simply put, torque is the power to move things and horsepower is what you do with it once you're in motion - ie:speed. Horsepower is torque working at different RPM's. Given amount of torque at higher revs = higher horsepower.
Developing massive torque at very low RPM's will move a mountain, but you won't be going very fast, for example a diesel tractor engine. You could get a tractor engine to spin the rear wheels very fast using gearing, but the strains on drivetrain components would be astronomical, requiring massive, heavy gears, differentials and transmissions. Forget about a clutch!
If your peak torque is developed at very high RPM's you'll post very high horsepower figures and high top speeds, but generally (depending of course on weight and gearing, etc.) you'll bog of the line with less low RPM torque to help you get that inertial mass moving from a standstill.
Cobras are light cars and need less low RPM torque to get moving than say, a 4000 lb Chevelle so you can develop peak power higher in the RPM band where it will produce the horsepower (ie: speed) needed to win the race once you get past the traction issues at launch.
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I have read that it takes torque to move the weight of the car and rpms to move it at speed. The way I understand it, a car with 600 foot lbs of torque and 500 hp would be slower than a 600 tq with 800 hp.
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Basically correct (once again, all things equal and not including variables like weight, gearing, etc.)
With both engines having 600 ft/lbs of torque, the one producing higher horsepower does so because it applies that torque at a higher RPM.