After 2 weeks of failing to get Morroblivion to work I gave up and went for Skywind instead (just want to relive that old Morrowind magic!)
I've screwed that up somehow too. What does it mean when you choose to start a new game in Morrowind, and you get an all white screen, except for I can see one hand of the character from the wrist down, and also a couple of baskets flying randomly back and forth? (Could be the same basket going really fast. Suspect the basket is not the key to the problem so not sweating it).

Never heard of that... Try
Never heard of that... Try from the main menu to just type in console:
cow wrldMorrowind -5,-5
If even here nothing looks "normal", then it's an install issue. Please screenshot.