In medium bowl, combine flour, baking powder, cinnamon and nutmeg. In large mixer bowl, cream butter, granulated sugar and brown sugar. Add eggs, 1 at a time, beating well after each addition. Gradually beat in dry ingredients alternately with water; stir in 1-1/4 c morsels. Spoon batter into greased and floured 10" fluted tube pan. Bake in preheated 350~ oven for 45 to 50 minutes or until pick inserted in center comes out clean. Cool for 10 minutes. Remove from pan. Cool completely on wire rack. GLAZEin small heavy saucepan over low heat, melt 3/4 c morsels, milk and corn syrup, stirring until smooth. Cool for 10 minutes; pour over cake. Serve with ice cream.