(Reuters) – U.S. Stock Index futures fell on Wednesday after a strong rally in megacap stocks during the previous session. This was due to fears about aggressive monetary tightening and slower economic growth.

Big Tech companies that can rate-sensible, such as growth and tech companies like Microsoft Corp After a strong rebound on Tuesday, premarket trading fell by 0.6% to 1.5%.

The yields of the U.S. benchmark 10-year Treasury were close to 3%. [US/]

Following strong retail sales in April, fears about slowing growth have been eased and the Nasdaq finished more than 2% lower.

Tuesday’s rally followed weeks of selling on the U.S. stock market that last week saw the S&P 500 coming close to confirming a bear market from its record close on Jan. 3.

Jerome Powell, the Federal Reserve Chair, told Wall Street Journal that the U.S. central bank would continue to “pushing” rate increases until inflation moves down in a clear and convincing manner. If that doesn’t happen it will not hesitate to take more drastic action.

Traders project a probability of an 85.3% increase in the interest rate by 50 basis points in June.

Charalambos Pissouros (head of research at JFD Group) stated that Powell is holding firm to 50 basis points increases over the next few meetings. However, he does not completely dismiss the possibility of 75 basis point hikes in the future if inflation continues to rise.

With that said, it is not possible to say with confidence that the recent recovery in equity markets signals a bullish turn… We will view the current recovery only as a correction.”

Markets have been affected by uncertainty about Fed policy decisions. They are already struggling from worries about global economic slowdowns due to conflict in Ukraine, high inflation and lockdowns related to pandemics in China.

The S&P 500 is down 14.2% so far in 2022 and the Nasdaq has fallen more than 23%, hit by growth stocks.

7.04 AM ET ET fell 112 points or 0.34%. ET was down 19.5 point or 0.48% and fell 86.25 to 0.69%.

There are also other stocks Target Corporation (NYSE:) plunged 21.7% following a retailer’s first quarter profit that was halved. The company warned about a larger margin due to increasing fuel costs and increased freight prices.

Lowe’s Cos Inc (NYSE:) fell 2.5%, after reporting an unexpectedly large drop in same store sales. The company reported a lower-than-expected decline in home-improvement tool and building material demand from highs.