TAMPA, Fla. — For the first time since Aug. 9, crude oil settled below $80 a barrel as fuel demand lags and economic concerns persist.

Oil production in Libya has resumed an output quota of almost 600 million barrels a day. Libyan quotas are expected to reach 1 million barrels a day in the next six months. All of which drove down oil and gas prices throughout the past month. Crude oil settled Friday at $79.85 a barrel on the New York Mercantile Exchange – $8.11 less than the week prior.

Oil and gas prices are projected to continue their downward trend, since no immediate action is in place to stimulate both the U.S. and European economies at a time when fuel demand continues to lag. China's manufacturing index fell again for the third straight month and now Europe's manufacturing is starting to lag as well.

"Continued news of sluggish economies in the world's largest oil producing countries has both oil and gas prices retreating," said Jessica Brady, spokesperson, AAA Auto Club South. "A weakened euro and increased output in Libya are also pushing prices lower. Retail gas prices are forecast to decrease further this week, giving consumers more of a break at the pump."

The national average price of regular unleaded gasoline is $3.50 per gallon, reflecting a 9-cent decrease from last week. Florida’s average price of $3.47 fell 7 cents, while Georgia’s average price of $3.35 decreased 11 cents. Tennessee’s average price of $3.30 decreased 9 cents since last week, respectively.  

AAA’s Daily Fuel Gauge Report (fuelgaugereport.com) is updated each day and is the most comprehensive; reflecting actual prices from credit card transactions within the past 24 hours at two-thirds (100,000 stations) of the gasoline stations in the U.S. Its accuracy is unparalleled.