First off, an expectation of a Remington factory barrel shooting consistently with the "bullets touching is unrealistic" IMO. That is a group that is around .3-.4.
In reality anything consistently under .75 is good and .5 is absolutely great in factory barrels.
Having said that, now we will have the hordes of pics of the "one in a lifetime groups shot on the internet" posted. Just none of those guns ever make it to a match for some reason.
However, if you want to try and wring the most out of the gun, three immediate things will help.
1. Skim bed the action
2. Adjust the trigger
3. Recrown. scratch that maybe. I am going to assume if your smith installed the brake, he recrowned it. If not recrown it. at least check it.
As for you velocity being lower. It will be with moly. Less friction.
The experience with moly runs the gamut from great to horrible. I would go with naked bullets first, after you clean the moly out as best as possible.
Finally try using a Fed 215 primer or the Wolf LR magnum and different bullets such as the hornadys (fatter) and see what it does.
Most of the manuals are also recommending H-1000 and RL25 as the best powders too.