die Laune
mood
A person's current mood or state of mind.
Er hatte heute Morgen richtig schlechte Laune, aber jetzt ist er wieder fröhlich.
He was in a really bad mood this morning, but now he's cheerful again.

mood / whim
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mood
A person's current mood or state of mind.
Er hatte heute Morgen richtig schlechte Laune, aber jetzt ist er wieder fröhlich.
He was in a really bad mood this morning, but now he's cheerful again.

'Laune' (mood) is almost always combined with an adjective that describes the mood. The most common combinations are 'gute Laune' (good mood) and 'schlechte Laune' (bad mood).
Trotz des schlechten Wetters hatte sie den ganzen Tag gute Laune.
Despite the bad weather, she was in a good mood all day.
Fixed expressions with verbs include 'gute/schlechte Laune haben' (to be in a good/bad mood), 'jemandem die Laune verderben' (to spoil someone's mood), or 'jemanden bei Laune halten' (to keep someone in a good mood).
Lass dir von dieser Kleinigkeit nicht die Laune verderben!
Don't let this little thing spoil your mood!
In the singular, 'die Laune' almost always refers to mood. In the plural, 'die Launen' often means sudden, unreasonable ideas or changeable wishes.
Seine gute Laune von heute Morgen ist schon wieder vorbei.
His good mood from this morning is already gone again.
The idiom 'eine Laune der Natur' (a freak of nature) refers to an unusual, strange, or unexpected phenomenon in nature that deviates from the norm.
Ein weißer Tiger ist eine seltene Laune der Natur.
A white tiger is a rare freak of nature.
desire / pleasure
'die Lust' and 'die Laune' can both have to do with a person's inner mood. 'Lust' more often means that you want to do something: you feel like going to the movies or do not feel like studying. 'Laune' more often means the current mood: you are in a good mood or in a bad mood. There is a particular risk of confusion because of the expression 'nach Lust und Laune' (as one pleases). There, it means that you do something the way you want to at that moment. In everyday use: 'Lust' asks about wanting, 'Laune' about mood.

Nach dem langen Gespräch war ihre Laune deutlich besser.
After the long conversation, her mood was clearly better.
Heute Abend habe ich Lust, ein neues Rezept auszuprobieren.
Tonight I feel like trying out a new recipe.