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Your "router" is likely to be a switch, and as such, you will only see broadcast packets from other hosts connected to the router. The traffic between the router and your PC is not local traffic, that's traffic external to your PC and may be LAN or traffic to\from outside your LAN. Local traffic is considered to be that which doesn't leave your PC.
See the Wiki page on Capture Setup in particular, the section on switched Ethernet.
