In a small bowl, combine the packet of active dry yeast with 1/2 teaspoon of granulated sugar and 1/4 cup of warm water (110°F). Stir gently and let it sit for 5-10 minutes until it becomes foamy and bubbly.
In your large mixing bowl, combine 1 cup of hot water (115-120°F), 2 teaspoons of sugar, 1 teaspoon of salt, and 1/4 cup of olive oil. Add the activated yeast mixture and stir to combine. Gradually add 3 cups of bread flour and mix with a wooden spoon until the dough starts to come together.
Turn the dough out onto a lightly floured surface. Begin kneading by hand, adding the remaining 1/4 cup of bread flour as needed to prevent sticking. Knead for about 8-10 minutes until the dough is smooth, elastic, and slightly tacky but not sticky.
Place the dough in a lightly oiled bowl and cover with a damp kitchen towel or plastic wrap. Let it rise in a warm, draft-free spot until doubled in size — about 1 to 1 1/2 hours.
Once the dough has risen, gently punch it down to release excess air. Shape it into a traditional Italian loaf by folding and rolling it into an oblong shape or round boule, depending on your preference. Place the shaped dough on a greased baking sheet or in a bread pan.
Cover the dough again and let it rise for 30-45 minutes, until it puffs up noticeably.
If you want a shiny, golden crust, whisk 1 large egg with a splash of water and gently brush it over the loaf just before baking.
Preheat your oven to 375°F (190°C). Bake the bread for 25-30 minutes or until the crust is golden brown and the loaf sounds hollow when tapped on the bottom.
Transfer the bread to a wire rack to cool completely before slicing. Freshly baked Italian bread is best enjoyed the same day, but it also makes excellent toast the next morning.
