In a saucepan, combine apple cider, cranberry juice, orange juice, cinnamon sticks, cloves, star anise (if using), and nutmeg. Bring to a gentle simmer, then turn off heat and steep for 20 minutes.
Strain out spices and chill completely.
Just before serving, pour into a punch bowl and stir in ginger ale.
Add sherbet if using and garnish with orange slices and candy decorations.