The diencephalon includes the thalamus and hypothalamus. The thalamus relays sensory information, except smell, to the cortex and is involved in arousal, motor integration, pain modulation, and memory/behavior. The hypothalamus regulates homeostasis through the endocrine, autonomic, and motivational systems. It contains peptidergic neurons that secrete hormones through the pituitary to control endocrine functions. The thalamus and hypothalamus are critical for sensory/motor processing, arousal, homeostasis, and motivated behavior.