According to lead singer Bono, there are a couple of his favorite people rolled into the lyrics of "Grace" and they personify his favourite word: "It's not a song about people being graceful in their actions but covering over the cracks." He wrote the song thinking about how Grace enters and turns Karma upside down: "Grace interrupting Karma", in his words. For bassist Adam Clayton, "Grace" was a beautiful way to end the album. Bono said, "Grace is the idea I get most excited about, more so than karma. If I have to live by karma then I'm coming back as a frog."
A review in The Guardian said of the track, "'Grace' is a weightless meditation with vaguely Buddhist overtones", while Billboard described the track as "a soft, subtle closer, that nicely counters the sonic blast coursing through much of the set."