In a large mixing bowl, combine warm water, sugar, and yeast. Let sit for 5 minutes until foamy.
Add bread flour and salt. Mix until a shaggy dough forms.
Knead dough on a lightly floured surface for about 5-7 minutes until smooth.
Place dough in an oiled bowl, cover, and let rise for 1 hour or until doubled in size.
Punch down the dough and gently knead in cheddar cheese and diced jalapeños.
Shape into a loaf and place in a greased 9x5-inch bread pan.
Cover and let rise again for 30 minutes.
Preheat oven to 350°F (175°C).
Bake for 30-35 minutes or until golden brown and hollow-sounding when tapped.
Cool in the pan for 10 minutes, then transfer to a wire rack to cool completely.