TEGUCIGALPA, Honduras -- Paloma has strengthened to a hurricane with winds near 75 mph as it churns toward the Cayman Islands and Cuba.

Forecasters say the storm is expected to continue strenghening as it moves north over the next day. A hurricane warning is in effect for the Cayman Islands.

At 7 p.m. EST, the hurricane was located about 165 miles south of Grand Cayman and moving north near 12 mph. A gradual turn to the northeast is expected late Friday.

The storm was expected to dump up to 8 inches of rain on the Cayman Islands.

It could make make landfall over Cuba over the weekend, and Jamaica was warned to also monitor its progress.

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