Place half the flour in a warm bowl.
Gradually mix in the water, which should be 200°F.
Cover the bowl and leave for 10 minutes.
Beat the flour mixture with a wooden spoon or rotary beater until it cools to lukewarm.
Cover the bowl and leave in a warm place overnight (or for 10-12 hours).
Heat the milk until it is just lukewarm.
Remove from the heat and mix in the yeast and the sugar; then leave in a warm place for 10 minutes until frothy.
Stir the yeast liquid into the flour mixture, mix in the remaining flour, salt and caraway seeds and bind together to form a dough.
Turn the dough out onto a lightly floured surface and knead well until it is no longer sticky.
Roll the dough into a ball, place in an oiled plastic bag, and leave in a warm place to rise until almost doubled in size.
Turn the risen dough out onto a board, punch down and knead until smooth then shape it into a loaf about 10 inches long.
Place on a greased baking sheet and smooth the loaf with your hand which has been dipped in cold water.
Brush the loaf once more with water then bake toward the top of a moderately hot oven (400°F) for 45 minutes to 1 hour until it is golden brown and sounds hollow when tapped on the bottom.