WASHINGTON—Barack Obama is "on track" to nominate Hillary Clinton as secretary of state after next week's Thanksgiving holiday, an aide to the president-elect's transition team said Friday.

The high-profile bid to bring Obama's top Democratic primary rival into his cabinet as his senior foreign policy aide moved forward after financial disclosure issues were worked out with ex-president Bill Clinton.

There will be no formal announcement before the holiday break, which starts next Thursday, the Obama aide said on condition of anonymity, adding that the full make-up of Obama's national security line-up was still being worked out.

The source said that New York Senator Clinton and Obama were having substantive discussions about her future role.

Latest speculation about the president-elect's emerging cabinet on Friday surrounded former four star general and the former head of NATO James Jones, after ABC News said he was a top candidate to become national security advisor.

Ex-president Clinton reportedly offered to submit names of donors to his global charity to an ethical review, following concerns his high profile role could prove a conflict of interest if his wife is secretary of state.

Obama held a late-night meeting with the former first lady in Chicago last week, which set off rampant speculation that the president-elect was considering her as secretary of state.