Hurricane Danielle weakened to a Category 2 storm on Saturday and was set to pass east of Bermuda by the end of the day, the U.S. National Hurricane Center said.

Danielle, located some 340 miles southeast of Bermuda, had top sustained winds of 110 miles per hour, the Miami-based hurricane center said.

The hurricane poses no direct threat to land or the U.S. Gulf of Mexico oil patch.

A tropical storm watch was in effect for Bermuda but computer models showed Danielle passing well east of the island later on Saturday. The Hurricane Center said dangerous surf conditions would affect Bermuda over the next few days.