Hermine was moving across the northern Outer Banks of North Carolina in an east-northeasterly direction at near 33 kilometers per hour, the Miami-based National Hurricane Center said.
Packing maximum sustained winds of around 60 miles per hour, the storm was expected to strengthen after the center moves over water.
"Hermine could be near hurricane intensity by Sunday," the NHC said in a 12.00 GMT update.
Hermine was a hurricane when it slammed into Florida's Gulf of Mexico coast early yesterday, causing street flooding and power outages, the southeast state's first hurricane landfall since 2005.
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Today, Hermine was barreling along the mid-Atlantic coast, raising tropical storm warnings as far north as Connecticut, north of New York.
It was expected to lose forward speed and then "meander" offshore of the Delaware, Maryland and Virginia coasts tomorrow, the center said.
Hermine was forecast to dump up to nearly 18 centimeters of rain over parts of Virginia and Maryland through Monday morning.
Virginia Governor Terry McAuliffe declared a state of emergency yesterday under the potential threat of damaging high winds, heavy rainfall, and a dangerous storm surge and flooding.
Maryland Governor Larry Hogan declared a state of emergency for coastal areas.
Hermine brought bad news for throngs of travelers hoping to enjoy beach time on the three-day Labor Day weekend, the unofficial end of the US summer vacation season.
The US forecasters predicted a storm surge and rising tide will cause flooding, with a potential deadly water level in southern Virginia and northern Carolina.
Hermine will lash the mid-Atlantic coastal areas with ocean swells through the weekend, they said.
"These swells are likely to cause life-threatening surf and rip current conditions, and significant beach erosion."
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