The Dow and the S&P 500 rose early Thursday as better-than-expected results from Morgan Stanley lifted optimism over the battered financial sector, but Intel dragged down the Nasdaq after the chipmaker trimmed its outlook.

The Dow Jones industrial average <.DJI> gained 49.69 points, or 0.40 percent, to 12,621.60. The Standard & Poor's 500 Index <.SPX> gained 6.19 points, or 0.47 percent, to 1,332.03. The Nasdaq Composite Index <.IXIC> dropped 3.20 points, or 0.11 percent, to 2,811.03.