US STOCKS-S&P 500 ends at highest in 2 months on upbeat earnings
* McDonald's up as China demand recovers
* Dow Chemicals rises, boosting materials sector
* Indexes up: Dow 1.9 pct, S&P 1.7 pct, Nasdaq 1.7 pct (Updates to close)
By Caroline Valetkevitch
Oct 22 (Reuters) - The S&P 500 closed at its highest in two months on Thursday as stronger-than-expected earnings from several top companies, including McDonald's, relieved investors' concerns about the profit outlook.
Adding to the day's optimism, ECB President Mario Draghi said the bank could extend its stimulus program beyond 2016 to boost euro zone growth and boost inflation closer to 2 percent.
McDonald's shares jumped 8.1 percent to $110.87, giving the Dow its biggest boost, after its quarterly results beat estimates as demand recovered in China. EBay rose 13.9 percent to $27.58 after it reported better-than-expected results late on Wednesday.
Dow Chemical rose 5.1 percent to $49.92 after its results, while the S&P materials index jumped 2.8 percent and led the S&P sector gains along with the industrials , also up 2.8 percent.
In another sign of diminished concerns, the CBOE Volatility Index - the market's favored barometer of volatility - closed at a 2-month low. Continuación...