@Hipo I tried to clear the /etc/resolv.conf in my normal 11.10 environment but no luck. It contained two nameservers which correspond to the primary and secondary DNS. After reboot it refilled it with the same stuff.
@steeldriver: this is the outcome of the commands you mentioned. I tried to look up the file eth0 using nautilus. Under ipv4 it says method=auto
As you expected tracepath 220.127.116.11 gave no response.
I'm starting to doubt if I will ever get my internet back...
x@x:~$ sudo cat /etc/network/interfaces
iface lo inet loopback
x@x:~$ sudo cat /etc/NetworkManager/NetworkManager.conf
x@x:~$ sudo ls /etc/NetworkManager/system-connections