Prepare an ice-water bath. Combine all ingredients in a small pot, and bring to a boil, stirring until sugar dissolves. (Brush down sides of pot with a wet pastry brush while cooking to prevent sugar crystals from forming.) Continue to boil, without stirring, until caramel begins to turn light amber, 8 to 10 minutes.
Remove pot from heat, and set in ice-water bath to stop sugar from cooking, stirring with a fork. The sugar is ready when it starts to thicken but still flows in a steady stream. Place 3 skillets or wooden spoons about 8 inches apart on a counter, with handles hanging slightly over the edge. Dip fork in hot sugar; quickly move the fork back and forth over the handles, making thin threads of sugar. Repeat, layering strands of sugar. Every few passes, gather the cooled spun sugar, and place in an airtight container. If the weather is dry, sugar will keep overnight. If humid, store with a desiccant packet and use the same day.