German economic advisers forecast 2.8% inflation in 2026, 3.3% in 2027

The signal here is the direction of travel: inflation projected to rise into 2027 rather than settle, paired with modest growth, which implies a stagflationary tilt rather than a clean recovery. The advisers' warning that defense borrowing creates fiscal pressure matters because it ties rearmament spending to the same inflation path, narrowing the room for offsetting fiscal support. For crypto and RWA markets, this is macro backdrop rather than direct news — the open question is whether persistent euro-area inflation keeps rate expectations higher for longer, which historically weighs on risk appetite.