The effects of auditory spatial attention on event-related brain potentials (ERPs) were examined in situations that promoted stream segregation. Short and long noise bursts were presented at three azimuth locations and listeners were asked to respond to the longer sounds occurring at either the right- or left-most location. In the baseline condition, the three sound sources were evenly spaced apart. In the distractor clustering conditions, middle and far sounds were clustered. In the attended clustering conditions, middle and attended sounds were clustered. ERP indices of attention, isolated as negative difference (Nd) waves, were greater over the hemisphere contralateral to the attended location. Nd waves were also larger when the middle sounds were moved toward the far distractors, consistent with an object-based gradient of auditory attention in which higher order information provided by the perceptual context influences selective processing.