Nutty Swirl Loaf

Dissolve the yeast in 1/2 cup lukewarm milk. Let stand for 10 mins. Mix the flour, sugar and salt in a large bowl. Make a well in the center. Pour the yeast mixture into the well and add the vanilla extract. Stir the mixture gradually bringing in the flour from the edge. Cover the bowl with plastic wrap and set aside in a warm place for 15 mins.
Add the egg to the flour mixture with the remaining 1/2 cup lukewarm milk and the butter. Knead with the dough hook of a mixer until you have a smooth dough.
Cover the bowl with plastic wrap and set aside in a warm place for 45 mins.
Mix the chopped nuts. Bring the honey and cream to a boil in a medium saucepan. Add 2 cups of the mixed nuts and simmer for 2 mins. Remove from the heat and cool.
Grease a loaf pan (4-inch wide x 12-inch long x 3-inch deep). Knead the dough and roll out on a lightly floured work surface, to a 12 x 16-inch rectangular shape. Spread the nut mixture on top of the dough rectangle leaving a 1/2-inch border.
From the short-side, roll up the dough. Carefully place the rolled-up dough in the prepared pan. Cover with greased plastic wrap and set aside in a warm place for 30 mins.
Preheat the oven to 325u0b0F. Bake for 45 mins. Cover with foil 15 mins before the end of cooking time if necessary. Cool in the pan for 30 mins. Remove from pan; cool completely on wire rack, 2-3 hours.
Mix the 1 tbsp cold milk, 1 tbsp water and powdered sugar in a small bowl. Drizzle over the loaf and sprinkle with the remaining nuts.