Mega-cap firms Apple Inc AAPL.O and Microsoft Corp MSFT.O lost more than 3% each in premarket trading, while Morgan Stanley MS.N led losses among major U.S. banks with a 2% slide. It also projected a slowing economy and rising unemployment in the coming months in the face of worst inflation in 40 years, raising risk of a downgrade to U.S. corporate profit in third and fourth quarter. "The Fed is now painting a central scenario that is getting much closer to a hard landing," Deutsche strategist Jim Reid wrote in a note.