Microsoft

(MSFT) - Get Report

was down 1.1% in preopen

Island

TST Recommends

trading. Friday afternoon the software giant said it has not lowered its earnings forecast but it remains cautious about the U.S. economy. Microsoft's CFO, in an interview with

Reuters

, declined to elaborate on the company's outlook but said its expectations haven't changed since its Jan. 18 conference call.

This morning, Microsoft announced a deal with Internet auctioneer

eBay

(EBAY) - Get Report

to develop e-commerce applications and expand their presence on the Web. eBay was up 0.7%.