Mix flour, yeast, sugar, salt, Italian seasoning, and garlic powder in a large bowl. Add warm milk, olive oil, and egg, then knead for 8 to 10 minutes until smooth.

Cover and let rise in a warm place until doubled, about 1 hour.

Punch down dough and roll into a 12x9-inch rectangle. Sprinkle with mozzarella and Parmesan, roll up tightly, and place seam-side down in a greased 9x5-inch loaf pan.

Cover and let rise until the dough crests above the pan rim, 45 to 55 minutes. Preheat oven to 375°F (190°C).

Slash the top, brush with olive oil, and bake for 30 to 35 minutes until golden and the internal temperature reaches 190°F to 200°F.

Cool in the pan 10 minutes, then turn out and cool at least 20 minutes before slicing.