1 of 11
Marco Garcia, Associated Press
A group of tourists from California head into the water for a surf lesson in Waikiki in Honolulu on Thursday, Aug. 7, 2014. With Iselle, Hawaii is expected to take its first direct hurricane hit in 22 years. Tracking close behind it is Hurricane Julio.

HONOLULU — Hurricane Julio has been downgraded to a Category 2 storm with maximum sustained winds of 105 mph and is predicted to miss the Hawaiian islands by about 200 miles.

Comment on this story

National Weather Service officials say the storm, which is about 900 miles east of Hawaii, is expected to continue to weaken as it approaches cooler waters in the Pacific.

That's good news for the island chain dealing with strong winds and heavy rain from Tropical Storm Iselle, which hit the Big Island early Friday.

Coffee farmers on the Big Island are out navigating flooded roads to assess damage to crops, while tourists around Honolulu are back out on the streets and surfers took to the waves.

While Julio's path could still change, experts remained optimistic.