How to reproduce:
1. Create a new project and open it
2. In the Hierarchy create a new parent Cube with 1 child Cube under it
3. Turn it into a prefab and open it via the Hierarchy Window
4. In the prefab mode click on the parent cube and observe that there are no selection highlights for these objects

Expected result: Selected parent is highlighted in an orange outline while the children are highlighted with a blue highlight
Actual result: Neither the parent nor the child have a selection outline in prefab mode

Reproducible with: 2022.1.0a11, 2022.1.0b2
Not reproducible with: 2019.4.34f1, 2020.3.25f1, 2021.2.7f1, 2022.1.0a1, 2022.1.0a10

Note: This also reproduces in non-prefab mode for certain objects such as terrains, a separate fix for that is issue is in review