Final answer:
The thalamus processes and relays all sensory information, except that from olfactory receptors, to the primary sensory cortex, filters information to the cerebrum, but it is not directly responsible for processing olfactory sensory input.
Step-by-step explanation:
The thalamus is responsible for relaying and processing almost all sensory information to the primary sensory cortex, filtering information to the cerebrum, and playing a role in the regulation of consciousness, sleep, and alertness. However, it does not receive and process sensory input from olfactory receptors. The olfactory system bypasses the thalamus and sends sensory input directly to the olfactory cortex, not requiring the usual thalamic relay.
Furthermore, the thalamus is involved with the transmission of some signals concerning emotional states to the frontal lobes, but it's more accurately the limbic system that directly regulates emotions and emotional response, with structures like the amygdala and the hippocampus playing more direct roles.