Tropical Storm Ophelia has headed northward, as residents of coastal North and South Carolina assess damage from the slow-moving storm.

Thousands of homes and businesses remained without power Friday, despite the fact that the nation's first hurricane since Katrina never officially made landfall.

Experts say the Category 1 hurricane caused power outages, flooded streets, and significant damage to buildings because it moved slowly, battering the same area for two days and dumping dozens of centimeters of rain.

As Ophelia continues to weaken and move northward, tropical storm watches are in effect for parts of the northeastern U.S. state of Massachusetts and the Canadian province of Nova Scotia.

Some information provided by AP.