Errno 111 Connection refused with a very basic password reset

Novice to django here, currently trying to implement a password recovery using the admin password_reset function but I'm getting an error. From what I've read about other people with similar problems its some kind of port/socket issue, but I'm not quite sure how to go about changing or fixing it. I should mention that I'm running this through a virtual ubuntu, not sure if that has anything to do with it.

Environment:

Request Method: POST
Request URL: http://127.0.0.1:8000/admin/password_reset/
Django Version: 1.1.4
Python Version: 2.6.6
Installed Applications:
['django.contrib.auth',
 'django.contrib.contenttypes',
 'django.contrib.sessions',
 'django.contrib.sites',
 'homework.events',
 'django.contrib.admin']
Installed Middleware:
('django.middleware.common.CommonMiddleware',
 'django.contrib.sessions.middleware.SessionMiddleware',
 'django.contrib.auth.middleware.AuthenticationMiddleware')


Traceback:
File "/usr/local/lib/python2.6/dist-packages/django/core/handlers/base.py" in   get_response
  99.                     response = callback(request, *callback_args, **callback_kwargs)
File "/usr/local/lib/python2.6/dist-packages/django/contrib/auth/views.py" in password_reset
  116.             form.save(**opts)
    File "/usr/local/lib/python2.6/dist-packages/django/contrib/auth/forms.py" in save
  136.                 t.render(Context(c)), None, [user.email])
    File "/usr/local/lib/python2.6/dist-packages/django/core/mail.py" in send_mail
  407.                         connection=connection).send()
    File "/usr/local/lib/python2.6/dist-packages/django/core/mail.py" in send
  281.         return self.get_connection(fail_silently).send_messages([self])
    File "/usr/local/lib/python2.6/dist-packages/django/core/mail.py" in send_messages
  179.         new_conn_created = self.open()
    File "/usr/local/lib/python2.6/dist-packages/django/core/mail.py" in open
  144.                                            local_hostname=DNS_NAME.get_fqdn()