Although it'd be handy to know what resolution you're running at. If you're trying to run it at 1440x900+ then it's no wonder it's crawling. Drop the resolution and you'll claw back the frame rate.
Pixel throughput is rarely the problem for Morrowind on modern hardware, so high resolutions will run about as well (or poorly) as low. This will depend on your card, but other factors are far more significant.