Citigroup Inc. (C) warns about the heart of the U.S. corporate bond market that looks braced for its biggest test since the crisis as a backlash over leverage which fuels an “internecine battle” that harms borrowers and lenders alike.

High-grade non-financial companies have seen their total debt burdens rise 10 percent year-on-year since 2010 — double the 5 percent growth rate of their earnings. The backdrop for Corporate America’s debt now looks “foreboding” as foreign investors beat a retreat, according to Citi.

Credit outlook

Citi is recommending investors to snap up credits of issuers that are deleveraging amid the 2019 turning point.