Fay originated from a surface low that formed over the Northern Gulf of Mexico on July 3 and slowly drifted eastward, before crossing over the Florida Panhandle.

The storm intensified, reaching its peak intensity on July 10, with maximum 1-minute sustained winds of 60 mph (97 km/h) and a minimum central pressure of 998 millibars (29.5 inHg).

Fay's precursor disturbance was responsible for extensive rainfall and flash flooding in the Southeastern United States, especially within Georgia and South Carolina.

Many interstates and other principal highways throughout the Philadelphia and New York City metropolitan areas were flooded and were left impassable, leading to widespread road closures and disruption to commuters.

[1] By July 4, the National Hurricane Center (NHC) first mentioned the possibility of eventual tropical cyclogenesis from this trough in the northern Gulf of Mexico, which at that time consisted of disorganized convection, or thunderstorms.

[2] A smaller-scale low pressure center formed within the disturbance, but before the feature could further consolidate, it moved inland near Panama City, Florida around 06:00 UTC on July 6.

[1] On July 9, the thunderstorm activity of the low increased as it moved northeastward, parallel to the coast of North Carolina even as the system experienced a sudden slowing in its forward motion.

[1][5] Based on the organization of the system, and observations of 45 mph (72 km/h) sustained winds, the NHC initiated advisories on Tropical Storm Fay at 21:00 UTC on July 9.

[6] The storm was located over the warm waters of the Gulf Stream and in an area of light to moderate wind shear; these environmental factors favored intensification of the tropical cyclone.

[5] The elongated circulation of the developing storm was steered generally northward by a ridge over the western Atlantic Ocean and by an approaching trough from the south.

[9] Around 20:00 UTC on July 10, Fay made landfall just north-northeast of Atlantic City, New Jersey with maximum sustained winds of 50 mph (80 km/h).

[14] The National Weather Service issued a flash flood watch for much of the Eastern Shore of Maryland, all of New Jersey, and New York City.

However, forecasters expected heavy rainfall and gusty winds from Fay or its remnants, which led the Trump campaign to postpone the rally, due to safety precautions.

[23] The precursor disturbance to Fay moved into the Florida Panhandle and crossed over into Georgia on July 6, delivering heavy rainfall throughout the state and causing widespread flash flooding as far as the Savannah River valley.

[29][30] Beachgoers on the North Carolina coast observed two waterspouts on July 6, with one of them moving ashore and becoming an EF0 tornado, which lifted an umbrella, although it is not clear as to whether or not this was actually caused by Fay or another approaching extratropical storm from the west.

[31][32][33][1] Fay's impacts were felt across a majority of the Northeastern U.S., with widespread rain, flash flooding, and minor wind damage occurring as a result of the storm.

[42][43] Widespread roadway flooding in Stone Harbor, Avalon, Sea Isle City, and Rio Grande in Cape May County left many roads impassable and forced New Jersey Route 47 to be closed.

[61] An unidentified teenager in Eastern New Jersey was pulled underwater in a strong rip current and their body was never recovered, presumably having drowned, according to a media report.

[66] In Maine, the post-tropical remnants of Fay briefly spawned a waterspout over Baker Lake, which became an EF0 tornado once it moved ashore between Hiram and Naples on July 11, with minor damage to some trees and homes.

[71] A 64-year-old Massachusetts man was also identified as a victim of drowning off a Rhode Island beach on July 12, although it is unclear whether Fay was responsible for the fatality.