The key Tokyo Commodity Exchange rubber contract for April delivery settled down 9.4 yen or 3.4 percent at 264.1 yen per kg. The most active Shanghai rubber contract for May delivery closed at 24,600 yuan per tonne, down from Friday's close of 25,320 yuan. Volume stood at 991,402 lots. "We expect the market won't fall below this year's low of 250 yen as we hear Chinese buyers are already increasing purchases in anticipation of a decrease in supply from rubber producing countries," said a dealer. "We expect the market to hit bottom by the end of this year." Rubber prices, which have almost halved this year, should find support at $3.0 to $3.5 per kg over the medium term, helped by a seasonal fall in supply plus possible intervention by the Thai government, dealers and industry officials said on Monday. The world's top three rubber-producing countries, Thailand, Indonesia and Malaysia, said after a meeting in Bangkok on Saturday they did not see any immediate need for price intervention as they expected the rubber market to pick up soon for seasonal reasons. The Indonesian Rubber Association (Gapkindo) said on Monday the International Tripartite Rubber Council (ITRC) would review the situation again in December, when it holds its annual meeting. Brent crude futures held above $107 a barrel on Monday on fears that tensions over Iran's nuclear programme, and clashes in Egypt and Syria, may disrupt Middle Eastern output as demand for fuel rises ahead of the northern hemisphere winter. The Nikkei average fell on Monday to its lowest closing level since March 2009, with key support looking fragile as newly installed European leaders grapple with sovereign debt woes and the US bipartisan committee looks set to miss the deficit reduction deadline.