Several connected bloggers on the net are reporting that Hillary Clinton will be letting her staffers go on Tuesday.
She will concede the nomination to Obama shortly thereafter and endorse him.
Whether she will be his running mate is an open question at this point. Hillary has done some significant damage to her credibility and I'm not sure they can run on the same ticket.
At the same time, an Obama/Clinton ticket would be nearly impossible for McCain to beat. However, the Democrats have a history of not making the right choices and this may be one.
One remaining rumor is that Bloomberg might be the potential V.P. choice for Obama. If Bloomberg is willing, this will be a killer ticket and hurt the Republican chances immensely. The problem is that no one knows what Bloomberg has planned or will do at this stage.