In a large bowl, combine 1 cup flour, sugar, yeast and salt. In a small saucepan, heat the butter, milk and water to 120°-130°. Gradually add to dry ingredients; beat on medium speed for 3 minutes. Add eggs, egg yolk and 3/4 cup flour; beat on high for 2 minutes.
Stir in the fruit and enough remaining flour to form a soft dough (dough will be sticky). Place in a greased bowl, turning once to grease the top. Cover with plastic wrap and let rise in a warm place until doubled, about 1-1/2 hours.
Stir dough down. Cover with plastic wrap and refrigerate overnight.
Punch dough down; turn onto a lightly floured surface. Shape dough into 24 balls and place in well-greased muffin cups. Cover and let rise in a warm place until doubled, about 1 hour.
Meanwhile, bring water and sugar to a boil over medium heat. Cook and stir until sugar is dissolved and mixture is syrupy, about 10 minutes. Remove from the heat and cool to room temperature. Stir in rum.
Bake cakes at 375° for 10-14 minutes or until golden brown. Poke holes in cakes with a fork; slowly pour 1 tablespoon rum syrup over each cake. Top each with a cherry half. Let stand for 10 minutes before removing from pans. Serve warm.