Internet only mode data transfer path

Hi All,
I have been trying dif modes of data transfer and backup options etc and decided to try the enable internet only mode on the client on a local network.

I have a data tracker monitoring internet traffic etc and was curious how URbackup handles the data path when the enable internet mode is used on a local network.

the traffic shows up on the internet data flow monitor when run in this mode but is it really going anywhere near the internet? or is it looping back (note client and server on same computer)
just curious.
ta

Just an update on this topic, I have been tracking data usage on my internet account which is independent of me. it would appear that even though the client and the server are on the same computer when internet mode is used it actually uses the internet rather than just acting as if it was internet traffic.
question would be–is it possible to stop this?
I will analysis this for a few days to ensure it is consistent before signing off on it.
Simple equation–normal case high down low up, down maybe 50GB per day and up would be 1GB as an example, with internet mode running locally down and up are very similar.