1 12-ounce container frozen cranberry juice cocktail, thawed
1 cup water
1 cup (packed) golden brown sugar
1 cinnamon stick, broken in half
1/4 teaspoon ground allspice
1 6-ounce package dried tart cherries*
1 12-ounce bag cranberries
Bring first 5 ingredients to boil in heavy medium saucepan over medium-high heat, stirring until sugar dissolves. Add cherries; cook 2 minutes. Add cranberries; cook until berries pop, stirring occasionally, about 9 minutes. Transfer to bowl. Cover; chill overnight. (Can be made 1 week ahead. Keep chilled.) Discard cinnamon. Serve cold or at room temperature.
* Available at specialty foods stores, natural foods stores, and supermarkets.