Let sit for 10 minutes to proof the yeast. If there are no bubbles in the water after this time, the yeast is inactive and you should start over with new yeast. Place dough on floured board and knead for 5-10 minutes. Punch dough down and place onto floured board. Form into two loaves.
Place loaves into oiled pans.
Cover pans and let rise for about 30 minutes. Mix the egg yolk with 1 Tbsp of water. Brush loaves with this mixture. Bake at for 20 minutes, then lower heat to and bake for 40 additional minutes. If you are making rolls, you probably need to bake for a total of 20-25 minutes.