If you can not resolve locally any domain name try to clean up Directory Service cache. Use with sudo this utility:
dscacheutil – gather information, statistics and initiate queries to the Directory Service cache.
Use it with the option:
flushcache – Flushes the entire cache. This should only be used in extreme cases. Validation information is used within the cache along with other techniques to ensure the OS has valid information available to it.
For example:
sudo dscacheutil -flushcache
