What is the recommended Nginx configuration for Craft? I'm looking for the recommended way of how to configure Nginx server to run Craft.

Currently, I use the following configuration, it works, but I don't know if it could be better:

server {
    listen 80;
    server_name example.com;
    root /home/vagrant/craft/public;

    index index.html index.php;

    charset utf-8;

    location / {
        try_files $uri $uri/ /index.php?$query_string;
    }

    location = /favicon.ico { access_log off; log_not_found off; }
    location = /robots.txt  { access_log off; log_not_found off; }

    access_log off;
    error_log  /var/log/nginx/example.com-error.log error;

    error_page 404 /index.php;

    location ~ \.php$ {
        fastcgi_split_path_info ^(.+\.php)(/.+)$;
        fastcgi_pass unix:/var/run/php5-fpm.sock;
        fastcgi_index index.php;
        include fastcgi_params;
    }

    location ~* (?:^|/)\. {
        deny all;
    }

    location ~* (?:\.(?:bak|config|sql|fla|psd|ini|log|sh|inc|swp|dist)|~)$ {
        deny all;
    }

    location ~* \.(?:manifest|appcache|html?|xml|json)$ {
        try_files $uri /index.php?$query_string;
        expires -1;
        access_log /var/log/nginx/example.com-access.log;
    }

    location ~* \.(?:rss|atom)$ {
        try_files $uri /index.php?$query_string;
        expires 1h;
        add_header Cache-Control "public";
    }

    location ~* \.(?:jpg|jpeg|gif|png|ico|cur|gz|svg|svgz|mp4|ogg|ogv|webm|htc)$ {
        try_files $uri /index.php?$query_string;
        expires 1M;
        add_header Cache-Control "public";
    }

    location ~* \.(?:css|js)$ {
        try_files $uri /index.php?$query_string;
        expires 1y;
        add_header Cache-Control "public";
    }

    location ~* \.(?:ttf|ttc|otf|eot|woff)$ {
        try_files $uri /index.php?$query_string;
        expires 1M;
        add_header Cache-Control "public";
    }
}
Definitely not an nginx expert, but this has been working well for anyone that's tried it so far:

server {
  listen 8080 default;
  charset utf8;
  server_name example.com;
  root /path/to/example.com/public;
  index index.php index.html;

  # Logs
  error_log /usr/local/etc/nginx/logs/example.com.error.log debug;
  access_log /usr/local/etc/nginx/logs/example.com.access.log;

  location ~ \.php$ {
    include fastcgi_params;
    fastcgi_pass 127.0.0.1:9000;
    fastcgi_index index.php;
    fastcgi_param SCRIPT_FILENAME $document_root$fastcgi_script_name;
  }

  location ~ ^(.*)$ {
      try_files $uri $uri/ /index.php?p=$uri&amp;$args;
  }

  location ~* \.(?:ico|css|js|gif|jpe?g|png)$ {
    expires max;
    add_header Pragma public;
    add_header Cache-Control "public, must-revalidate, proxy-revalidate";
  }

  location = /robots.txt  { access_log off; log_not_found off; }
  location = /favicon.ico { access_log off; log_not_found off; }
  location ~ /\. { access_log off; log_not_found off; deny all; }
}


Note that it's making a few assumptions about how you've setup php-fpm and what ports things are listening on, so those may need to be adjusted.