I wouldnt agree that the US s50 is a very peaky engine. Yes it makes most of its power from 4 to 6 but it still makes a substantial amount of torque at low engine speeds. I guess you are considering something to be non peaky like a 335i where the power band starts tapering off a lot farther from redline.
Anyways I used to have a 3.73 and I put in a my 2.79 for my move from Washington to Texas. I thought the car would be really slow but it its not that bad at all. first gear actually feels ideal with such tall gears. first is worthless with a 3.73 and super worthless with a 4.10. second is a bit too short too. I think that the best diff ratio with an s50 and a 260 would be something in between what I have and the 3.73. probably a 3.46 or a 3.25. You do get awesome mileage on the highway with the 2.79 though. I got around 32 33mpg averaging 75 mph from Seattle to Dallas.
Anyways I used to have a 3.73 and I put in a my 2.79 for my move from Washington to Texas. I thought the car would be really slow but it its not that bad at all. first gear actually feels ideal with such tall gears. first is worthless with a 3.73 and super worthless with a 4.10. second is a bit too short too. I think that the best diff ratio with an s50 and a 260 would be something in between what I have and the 3.73. probably a 3.46 or a 3.25. You do get awesome mileage on the highway with the 2.79 though. I got around 32 33mpg averaging 75 mph from Seattle to Dallas.
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