Citing two of Clinton's associates, the New York Times said in an online report that she made up her mind after additional discussions with Obama about the nature of her role as the top U.S. diplomat and his foreign policy plans.

"She's ready," one of the sources told the newspaper.

The former First Lady appeared to become the forerunner for the top diplomat post last week after the two secretly met last week in Chicago where Obama's transition office headquarters locate.

Earlier reports said that former President Bill Clinton had agreed to cooperate with vetting procedure to clear the path for his wife to head the State Department from January 20, clearing the last barrier in the path for her to be the next state secretary.

However, Clinton's advisors insisted in a newly-released statement that "any and all speculation about Cabinet or other administration appointments is for President-elect Obama's transition team to address."

Obama's offer of a key cabinet post to his former presidential rival was considered a remarkable union between the two and effort to heal internal division the cruel and long-lasting campaign left to the Democratic Party.

However, some Democrats and political analysts reportedly questioned whether Clinton is too independent and ambitious to work in her former rival's cabinet, but the doubt has been dismissed by Obama's team, citing her capability to rebuild the U.S. foreign relations with her credibility and experience.

Obama was expected to make the official announcement on his cabinet members after the Thanksgiving holiday.

Earlier the day, Jim Jones, a retired Marine officer who served for several years as the operational commander for NATO, was named by several US media as the top candidate for the president's national security advisor.

Citing two sources, a CNN report said that Jones, as a bipartisan figure, has close relationships with Defense Secretary Robert Gates and Democratic Senator Hillary Rodham Clinton, who was reported to be the next state secretary.