Tropical Storm Fernand developed from an area of low pressure associated with a tropical wave near Cabo Verde on August 17. By August 22, the system began showing signs of organization near the northern Leeward Islands as it moved northwestward over warm waters of 82–84 °F (28–29 °C), influenced by a steering flow disruption caused by Hurricane Erin. On August 23, the disturbance officially became Tropical Storm Fernand. It then tracked north-northeastward and began to intensify, reaching peak sustained winds of 60 mph (95 km/h) by August 25, while positioned about 425 mi (685 km) east-northeast of Bermuda.
However, that same day, Fernand faced challenges due to northerly wind shear, which led to a deterioration in the storm's structure and a reduction in wind speed. Additionally, its passage over a cooler eddy in the Gulf Stream on August 26 resulted in a loss of deep convection near its center. Although the storm briefly managed to reinvigorate with some strengthening, it maintained maximum winds of around 50 mph (85 km/h) over parts of its circulation. By August 27, the system weakened considerably, producing minimal shower activity with little convection, and by the following morning, it transitioned into a post-tropical cyclone. Eventually, the remnants of Fernand were absorbed by a developing extratropical system.