SINGAPORE: Oil prices rose on Friday as U.S. sanctions on Iran are expected to cut significant volumes of crude from the market, although trading was muted by concerns over the unresolved trade dispute between Washington and Beijing.

Brent crude oil futures were at $75.07 per barrel at 0424 GMT, up 34 cents, or 0.5 percent, from their last close.

U.S. West Texas Intermediate (WTI) crude futures were at $68.24 per barrel, up 41 cents, or 0.6 percent.

Traders said the supply versus demand outlook for oil markets was relatively tight because of the looming U.S. sanctions against Iran, which will target oil exports from November.

Iran is the third-biggest producer within the Organization of the Petroleum Exporting Countries (OPEC), exporting on average around 2.5 million barrels per day (bpd) of crude and condensate this year, equivalent to around 2.5 percent of global consumption.

Energy consultancy FGE says it expects this figure to drop below 1 million bpd by mid-2019.

Despite this, sentiment in markets was cautious and liquidity in crude futures relatively low, traders said, after U.S. and Chinese officials talks aimed at resolving an escalating trade dispute ended on Thursday with no major breakthrough. Instead, both countries activated another round of dueling tariffs on $16 billion worth of each other’s goods.