Combine cranberries with 1⅓ cups (325 mL) water, orange zest, orange juice, cinnamon, cayenne and nutmeg; bring to a boil. Cook 10 to 12 min. until cranberries have popped. Remove from heat.
Strain through cheesecloth-lined strainer set over a clean saucepan, pressing gently to release liquids. Discard solids. Stir sugar and lemon juice into liquids; bring to a boil. Mix in pectin; stirring constantly 2 to 3 min. to dissolve. Remove from heat. Let stand 8 to 10 min. Skim off and discard any foam that forms on surface to ensure a clearer jelly.
Pour jelly into two 1- cup (250-mL) Mason jars. Cool completely and seal with lids. Refrigerate 8 hr. until set. Enjoy immediately or store refrigerated up to 1 month. Decorate with festive ribbons or strings and tags.