Combine sugar, yeast and water, let sit for 5 minutes. Mix flour and salt, then slowly add in the yeast mixture. Gradually add warm water and mix until the dough comes together into a ball that is not too wet. Knead for 5 minutes.
Lightly-oil inner pot of the Instant Pot. Use your hands to form the dough into a ball and place into the inner pot. Roll dough in the oil. Allow your dough to rise in the Instant Pot on the yogurt setting until double in size.
Next, flip the seam-side down and place on a sheet pan or baguette pan. Score the tops of the loaves. Cover with a dishcloth and let rise until they have doubled in size, which will be around 30 minutes.