How can I reset my router's DNS settings?

I've got a network with a Time Capsule providing an ethernet connection for my desktop, as well as a wireless connection for my wireless devices. From my desktop, I run a website, hosted with a major remote web space provider. What's happened recently is that when I try to upload anything from Dreamweaver to my host, I get a nondescript (no error code) "FTP error." When I try to access my site from any of my browsers on any of the clients on the network, be they ethernet or wireless, I get a "could not connect to server" message. I tried down or just me, as well as a proxy, and they both worked; I narrowed down the problem to a DNS issue on my Time Capsule.
The URL in question is www.theapplenewsreel.com, and the corresponding IP is 216.250.121.1.
I tried running NSLOOKUP from Terminal, and I just got this:

Last login: Sun May 27 11:23:33 on ttys000
my-imac:~ username$ NSLOOKUP www.theapplenewsreel.com
Server:     127.0.0.1
Address:    127.0.0.1#53

Name:   www.theapplenewsreel.com
Address: 192.168.1.111

Basically, the connection, for some reason, stays inside my local network. The rest of the Internet is accessible via all my devices without modifying any settings.
Problem is, I've got no idea how to fix the problem at this point. Can someone help?