Too much quill extension. Hot rolled what? That's not a steel type, but a method of production. You should use either HSS or a C2 for roughing and a C4 carbide for finishing. Probably as high a speed as your machine has. It's not unusual for feedlines to show up on the tailoff of a flycutter, especially in the case of worn spindle bearings, dull cutters, too aggressive a feed, or a head that is improperly swept in. If the head is not swept in, the cut will be dished, not flat. You also could try feeding from the opposite direction.
Flycutters are generally not good for heavy cuts, but for light cleanup cuts on an aluminum block like you have, they should be fine. If you have too sharp a point, you will probably notice a Moire type pattern on the surface. 0.010/0.015 radius is sufficient as long as your feed does not exceed that much per rev. not likely if your spindle speed is up where it should be.