By Whitney McFerron Nov. 3 (Bloomberg) -- Wheat futures fell for a fourth straight session as the dollar gained before a Federal Reserve decision today on economic stimulus. The Fed may announce a second round of monetary easing by pledging to buy at least $500 billion in long-term securities, according to economists in a Bloomberg News survey. The dollar rebounded from a two-week low against a basket of six competing currencies, raising speculation that earlier declines were exaggerated, said Frank Cholly Sr., a senior market strategist at Lind-Waldock in Chicago. A stronger dollar makes U.S. commodities less appealing for importers. “Most of the market has priced in a $500 billion stimulus that will be announced this afternoon, but I wouldn’t be surprised if it was a little less than that, or done in phases as opposed to all at once,” Cholly said. “If that happens, the dollar will get a rally, stocks will take a dump and commodities will turn lower.” Wheat futures for December delivery dropped 6 cents, or 0.9 percent, to $6.8825 a bushel at 10:01 a.m. on the Chicago Board of Trade. The price fell 3.3 percent in the past three sessions. Before today, the grain climbed 45 percent since the end of June as drought harmed crops in Russia. Wheat is the fourth-biggest U.S. crop, valued at $10.6 billion in 2009, behind corn, soybeans and hay, government data show. --Editors: Daniel Enoch, Millie Munshi. To contact the reporter on this story: Whitney McFerron in Chicago at wmcferron1@bloomberg.net. To contact the editor responsible for this story: Steve Stroth at sstroth@bloomberg.net.

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