Benchmark iron-ore futures in Asia on Thursday pulled back from six-week peaks hit during a relief rally earlier this week that was mainly driven by China's policy support, particularly for its debt-saddled property developers.

Stainless steel was also in the spotlight, with the Shanghai benchmark futures contract tumbling to the lowest level since mid-July on concerns over weak demand that were exacerbated by rising stocks in China.

The most-traded iron ore for May delivery on China's Dalian Commodity Exchange ended daytime trading 3.2% lower at 642.50 yuan ($101.29) a tonne after a three-day advance.

The steelmaking ingredient's most-active January contract on the Singapore Exchange was down 2.5% at $109.70 a tonne by 07:25 GMT.

"The outlook for the iron-ore market is challenging," commodities strategists at ANZ wrote in a note.

"With restrictions on China's steel industry, demand for iron ore is likely to be subdued. Even so, supply constraints combined with a stabilisation in China's property sector should limit the downside."

Earlier this week, China's politburo, its top decision-making body, vowed to promote a healthy development of the property sector, in a statement which came shortly after China's central bank announced a cut in banks' reserve requirement ratio to bolster slowing economic growth.

"With China targeting peak emissions by 2030, curbs on the steel sector are seen as the easiest way of reaching that goal," ANZ analysts said.

Spot iron ore in China traded at $111 a tonne on Wednesday, down from a six-week peak of $111.50 hit on Tuesday and 52% off its record high scaled in May, based on SteelHome consultancy data.

Stainless steel's most-active January contract on the Shanghai Futures Exchange shed as much as 4.5%.

Shanghai rebar fell 3%, while hot rolled coil lost 3.3%.

Dalian coking coal dropped 1.4%, while coke slipped 1.2%.