Heat oven to 350. Grease and flour 10 inch bundt cake pan. (Take it from me... do this really thoroughly)
In large mixing bowl, combine butter, peanut butter, sugar, brown sugar, and vanilla paste; beat until light and fluffy. Add eggs, one at a time, beating well after each addition.
Reduce mixer speed to low. Slowly add flour, baking powder, and salt; mix until well incorporated. Add milk, increase speed, mixing until batter is smooth and incorporated.
Bake at 350 F until toothpick inserted in center comes out clean, about 1 hour and 15 minutes.
Cool in pan 15 minutes on wire rack. Carefully remove from pan. Cool completely on wire rack.
For glaze, simmer jelly in a saucepan until liquified. Drizzle warm glaze over cooled cake. Serve.