(Bloomberg) -- The intensifying bond selloff is forcing a rising tally of money managers to scale back market exposures while Wall Street strategists are paring back their bullish playbooks.Investment firms including BlackRock Inc.’s research arm and Aberdeen Standard Investments are retreating from government bonds. Strategists have revamped their end-2021 forecasts at the fastest pace in two years. Surging yields have prompted a rethink at HSBC Holdings Plc, where global head of fixed income research Steven Major’s consensus-defying calls on the low-for-longer era have been largely vindicated over the years.“We have been surprised by the magnitude of the yield move,” Major said in an interview after abandoning a recommendation to buy 30-year Treasuries, though he remains bullish overall for the year-end. “It has provided a test for our convictions.”From Australia to the U.S., yield curves at the steepest in years are heralding a rapid return of global growth. Benchmark Treasury yields have jumped to the highest in a year and brought forward expectations for U.S. rate hikes to as early as mid-2023.“Nowhere is safe,” said Mark Nash, head of fixed-income alternatives at Jupiter Asset Management. “You have to be short all bond markets as global yields lift together,” with the exception of China, he added.Read more: Long-End Yields Surge in Biggest Treasury Selloff Since JanuaryFew are willing to stand in the way of a roaring reflation trade fueled by trillions of dollars of stimulus and a cure for coronavirus. Rates climbed across notes and bonds Wednesday, with the long bond yield on track for its biggest one-day advance since early January.Wall Street strategists have revamped their year-end yield forecasts at the fastest pace since 2018. The median call in the latest Bloomberg survey is for benchmark Treasury yields climbing to 1.48% by the fourth quarter, compared with the 1.24% estimate at the start of the year. Global government bonds are down 2.44% this year, according to a Bloomberg index, the worst annual start since 2013.Jamie Stuttard, head of global macro fixed income at Robeco, is bracing for a bond rout that could last until May.“Base effects will kick in over the next three months at exactly the same time that economies are reopening from winter lockdowns,” he said. “It’s quite probable that many investors will get ahead of themselves in pricing the rate outlook.”As the losses pile up, a number of big investors have recently moved to limit their exposure.Axa Investment Managers reduced duration exposure in Treasuries across strategies, reflecting concerns that yields could climb higher and damage funds’ performance, according to chief investment officer Chris Iggo.Aberdeen Standard Investments’ fund manager James Athey switched tactically from bullish to neutral positioning on developed market debt.BlackRock Investment Institute downgraded government bonds to underweight, with an increased bearish position in U.S. securities.Robeco Institutional Asset Management just closed out its long position on two-year U.S. notes for the first time in seven quarters and is underweight duration.Jupiter’s Nash is selling seven- to 30-year Treasuries since the global selloff began.As for Major at HSBC, he remains “mildly bullish” on Treasuries and hasn’t altered his year-end yield calls, citing demographics that suggest retirement savings of aging populations will continue to flow into bonds.It’s a stance that’s underpinned his outlook and led him to call a bull run that’s lasted longer than many ever imagined. Major stood out in 2014 for correctly predicting that 10-year yields would drop to about 2.1%, while the median forecast at the start of the year was 3.4%.He expects the 10-year Treasury yield will end this year at 0.75%, a call well below the consensus of analysts surveyed by Bloomberg.“There is a healthy tension between the near-term reflation debate and longer-term secular view of lower-for-longer rates,” Major said. “Ultimately, we think yields will stay low.”For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2021 Bloomberg L.P.