I hope not! A puppet is a mindless being controlled by a person with a mind and that would be humiliating.
But human beings are aware while the puppet is a mindless instrument. So the relationship of a human being to fate or God is not that of a puppet to a human being.
Maybe the relationship of a human being to fate or God is like the relationship of a robot to its maker. The robot-maker has a purpose and creates the robot to achieve its purpose, but the way the robot achieves the purpose is by being aware of features of the environment and responding to them intelligently.
This might still be humiliating, if human beings are designed for some purpose that we don’t care about and don’t know about and have no say over? Then we are something like heat-seeking missiles. We have limited awareness, but we have no say in our purpose.
It shouldn’t feel humiliating to have limited awareness, because that would imply that to feel good about ourselves we need to have unlimited awareness, which is an absurdly high requirement. It could be that we are like robots that are designed to have some say about defining or perceiving our purpose, but that whatever creates us — fate or God — has a deeper understanding of ourselves than we do. That’s fine.