Clinton and Waters were expected to announce the endorsement via conference call later Tuesday.

In a statement, Waters praise the former first lady's readiness to tackle the nation's economic woes.

"At a time when the economy continues to worsen and so many of my constituents are losing their homes and their jobs, we need someone with the leadership and experience who can step in on day one to tackle the economic challenges our country is facing," Waters said. "Hillary understands the daily challenges that people are facing and she will fight for them everyday she is in the White House."

Issues of race and gender have come to the forefront of the campaign, pitting Clinton, who hopes to be the first female president, against Obama, seeking to become the first black to hold the job.

Copyright 2008 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.