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I am glad to remind all who voted for this feature that it is now possible to set a font size as x-height or cap height with Show Font Height Options toggle enabled in Character panel menu.
Some issues still remain, yes, like, wrong size calculation if a font has rounded stems that end below baseline (https://illustrator.uservoice.com/forums/601447-illustrator-desktop-bugs/suggestions/44639661-font-height-options-misbehave-with-rounded-fonts), or inability to focus the dropdown with Tab (https://illustrator.uservoice.com/forums/601447-illustrator-desktop-bugs/suggestions/41836618-font-height-options-tab-order), or calculating font height by measuring glyphs instead of reading the actual value within the font (https://illustrator.uservoice.com/forums/601447-illustrator-desktop-bugs/suggestions/41615035-cap-height-setting-not-using-font-cap-height), but overall this is done, works, and super cool, don’t you think?
An error occurred while saving the commentJim Hiner commented
Illustrator is one of the WORST programs for setting type that I have used since starting in 1988. Also one of the worst for editing points. Complete **** for a sign shop.