Creating Caramel Apple Bread Pudding is straightforward when you follow these easy steps:

1. Preheat the Oven: Preheat your oven to 350°F (175°C). Grease a 9×13-inch baking dish with butter or cooking spray.
2. Prepare the Bread: In a large bowl, place the cubed stale bread and set it aside.
3. Mix Wet Ingredients: In another bowl, whisk together the eggs, whole milk, heavy cream, granulated sugar, vanilla extract, cinnamon, and nutmeg until fully combined.
4. Combine Mixtures: Pour the egg mixture over the cubed bread, gently folding to ensure all the bread is soaked. Let it sit for about 15 minutes to absorb the liquid.
5. Add Apples and Nuts: Fold in the diced apples and, if using, the chopped nuts, ensuring they are evenly distributed throughout the bread mixture.
6. Transfer to Baking Dish: Pour the mixture into the prepared baking dish, spreading it evenly.
7. Bake: Place the dish in the preheated oven and bake for 45-50 minutes, or until the top is golden brown and a toothpick inserted into the center comes out clean.
8. Cool Slightly: Remove from the oven and let it cool for about 10-15 minutes before serving.
9. Drizzle with Caramel: Before serving, drizzle warm caramel sauce over the top for an extra indulgent touch.

These steps will guide you in creating this incredible dessert effortlessly.