I had a classmate in college who worked as a house cleaner - she said they used microfiber cloths all the time - if I remember correctly, they used them for just about everything, wet & dry - sink/tub/shower, counters, fixtures, mirrors, furniture, appliances....
I bet you could get the same result with cheap-o cloths from whatever retailer.
I use microfiber cloths a lot at home and I've found that a wet cloth works pretty good on the stainless steel in the galley - but even with a lot of elbow grease, there are some spots I just can't get out. I tried a dash of baking soda, and that helped, but not completely spotless. For me, that's good enough (I have a dry rag to "polish" away any water spots/streaks) - I suppose for a truly spotless shine, you might need stainless steel cleaner/wipes or some bon ami.
Please note: I have not yet cooked bacon on my stove so I don't know how water + microfiber would do with grease splatter!
One thing I do know about microfiber: don't use fabric softener and don't put them in the dryer (or dry on very low heat). I've been told that fabric softener can "gum-up" the fine pile and high heat can "felt" (melt) the microfibers.
Actually, the same thing goes for any fleece - fabric softener can inhibit the wicking/water repellancy of polartec-style fleece and too much heat is never a good thing with synthetic fabrics.
All of this according to a Malden Mills rep.
On the fabric softener topic, I was once told never to use fabric softener (or dryer sheets) in "white wash" a.k.a cotton towels, sheets, underpants - the fabric softener can inhibit the absorbancy of cotton.
Anyway, if you're looking to reduce your paper towel use, consider a "swedish dish cloth" a.k.a cellulose wash cloth - they're a little bit abrasive-y and seem to do a better job than a regular wash cloth (I think you can get knock-offs at Walmart/Target/grocery store?) I also like the MSR camp towel (another kind of cellulose towel) but they're pricey! Both absorb a lot of water and wring pretty dry.
Trader Joe's used to sell a washcloth that was a lot like the pack towel - I had some old blue & brown towels that were great - I still use them. Then I got a yellow one and it turned into a ratty snag.
Of course, you could always use a cut-up t-shirt!