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It turns out the error message I was getting was inaccurate. The issue was not header setting. It turned out that I needed to make the request with jsonp and I needed to handle the incoming data differently. An error in the function called by app.js was erroring and causing the connection to time out. This resulted in the appropriate headers not being returned to the browser which caused the error message.
For anyone hoping to find an NGINX config that worked this is mine.
proxy_pass http://127.0.0.1:8080;
proxy_set_header Access-Control-Allow-Origin *;
proxy_set_header Host $host;
Thanks you for the suggestions.