Watford lost 6-0 on the day, the biggest scoreline in 116 years.
But the Hornets head coach said: “Today we've lost, City were much better than us, but there were different moments in the game. We started the game well, we created the best chance for us with Roberto Pereyra after 10 minutes, but we need to score that chance if you want to have some chance to win the game. After that, to speak about one or two plays after losing 6-0 is difficult to explain.
“I'm happy with the first part of the game but after if you let them have spaces, they show their quality and they're very good players. There's nothing to say, only to congratulate them."
City's victory was the biggest in an FA Cup final since 1903 but when this was put to Gracia he responded: “I'm very proud of my players, I'm proud of our supporters. All of us know how difficult it is for us to be here and to enjoy a game like today. As you can see our supporters helped the players until the end and I'm proud of being part of this club.
“There's nothing to say, only good words for my players. I know this moment is difficult to accept, this defeat, but for all of us, we are a team and we've enjoyed this season together a lot and today we suffer together."