Hyper V 3 Server Core install VM will not route through physical NIC

I have installed Hyper V 3 Core. I created a windows server 2012 vm with a static IP address connected to an external vswitch which was binded to a separate physical NIC than what the management network is on.

When looking at the NICs with ipconfig /all on the core install it only shows the management network adapter now that I have an external vswitch bound to the other physical NIC.

However, the VM cannot get out. When I do a ping or trace route Everything seems to stop at a 169. address which I assume is the physical NIC the external vswitch is bound to. Any ideas on where I went wrong in my setup?

EDIT: I can't ping the gateway. It says no response from 169... It is like it is hitting the physical NIC for some reason. I compared the settings on this VM to one of my other physical machines and they are identical, aside from the IP address of course. Same Subnet the physical machine can communicate fine but the virtual on the same network can't.

Results from Route Print

    Interface List
 12...00 15 5d 64 f7 00 ......Microsoft Hyper-V Network Adapter
  1...........................Software Loopback Interface 1
 13...00 00 00 00 00 00 00 e0 Microsoft ISATAP Adapter
===========================================================================

IPv4 Route Table
===========================================================================
Active Routes:
Network Destination        Netmask          Gateway       Interface  Metric
          0.0.0.0          0.0.0.0  136.142.100.225                c    261
        127.0.0.0        255.0.0.0         On-link         127.0.0.1    306
        127.0.0.1  255.255.255.255         On-link         127.0.0.1    306
  127.255.255.255  255.255.255.255         On-link         127.0.0.1    306
      169.254.0.0      255.255.0.0         On-link                 c    261
  169.254.233.254  255.255.255.255         On-link                 c    261
  169.254.255.255  255.255.255.255         On-link                 c    261
        224.0.0.0        240.0.0.0         On-link         127.0.0.1    306
        224.0.0.0        240.0.0.0         On-link                 c    261
  255.255.255.255  255.255.255.255         On-link         127.0.0.1    306
  255.255.255.255  255.255.255.255         On-link                 c    261
===========================================================================
Persistent Routes:
  Network Address          Netmask  Gateway Address  Metric
          0.0.0.0          0.0.0.0  136.142.100.225  Default
===========================================================================

Solution 1:

A 169.254.x.x address is an Automatic Private IP Address which Windows configures for itself when DHCP times out.

When you configure an External network in Hyper-V, there is no NAT or routing involved - the virtual guests appear to your network as devices in their own right. If you don't have a DHCP server on your network you will need to configure it with a valid static IP address for your subnet.

EDIT: as Tony Roth pointed out to me, I didn't read your question fully and you already have a static IP configured on the guest. Is the network definitely configured as an External and not a Private?

Solution 2:

After all this it turns out it was a duplicate network address. Previous versions of windows warned you this just accepts it and quietly assigns a 169 address as the preferred address even though it keeps your entry in the tcp/ip properties. I finally noticed a '(duplicate)' next to the static IP I assigned in IPconfig /all. Ahhhhhhh hours wasted. Thanks all for the suggestions