Yes, this is bad. Youre loosing packets - this means youll have to prepare for some lag, warp, rubber bullets and the like.
After hop 8 and the first packet loss, all bets are off.... what comes after doesnt really mean much.
Storms might be well the reason. Watch it for a few days and run a few more plots. You could also call the ISP, but im not sure if that will do much good.