Forecasters say Hurricane Leslie has shifted to the east overnight and the storm is now forecast to pass more than 100 miles to the east-southeast of Bermuda on Sunday morning.
Earlier forecasts said Bermuda would get a direct hit from Leslie, the 12th named storm of the Atlantic season, which reached hurricane strength on Wednesday afternoon.
Forecasters cautioned that the island will still experience powerful winds and rain on the weekend.
Leslie was centred about 440 miles south-southeast of Bermuda and is moving north near one mile per hour.
Leslie is projected to become a Category 2 hurricane.
Meanwhile the National Hurricane Centre says Hurricane Michael, situated northeast of Bermuda, has strengthened to a Category 3 storm.
Michael is the second hurricane to form in the Atlantic following the formation of Hurricane Leslie.