5 Vulnerable Stocks to Avoid the Rest of This Year

October’s inflation data came in lower than expected, showing signs that it might be finally cooling off. However, inflation remains way above the Fed’s long-term target of 2%.

The recently released minutes from the Fed’s policy meeting held earlier this month showed that the central bank would shift from hiking the interest rates by 75 basis points at its policy meeting next month. The majority of Fed officials believe the current pace of rate hikes might slow down.

However, the odds of a recession are still high as the final level of interest rates is expected to be higher than previously predicted. Economists surveyed in a Bloomberg survey believe there is a 65% chance of a U.S. recession in the next twelve months. They also think the Fed’s benchmark rate will peak at 5% next year and fall to 3% by the end of 2024.

Given this backdrop, it could be wise to avoid fundamentally weak stocks Advanced Micro Devices, Inc. $Advanced Micro Devices(AMD.US)$ , DraftKings Inc. $DraftKings(DKNG.US)$ , SoFi Technologies, Inc. $SoFi Technologies(SOFI.US)$ , ContextLogic Inc. $ContextLogic(WISH.US)$ , and Faraday Future Intelligent Electric Inc. $Faraday Future Intelligent Electric Inc.(FFIE.US)$ .