I can't figure out how to turn off feature highlighting either. I found that you can change the shadow color by going the Edit - Graphics Display Window - Screen color. The Highlight/Selected area sets the color. I had hoped that if I changed it to either pure white or black it would disable the feature, but no luck. I searched the settings editor, but don't see any options to disable it.
Personally, I like that newer feature of the software, but it would be nice if it were optional.